• Wednesday, May 29, 2024
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Nigeria can achieve 1 million mobile insurance annually – Jim Ovia

Tradedepot closes $10m funding in chase for major slice of Africa’s retail market

 Mobile insurance, a new product launched by Zenith Insurance and Prudential Zenith Life Insurance will help 1 million people take a cover through the mobile phone yearly, according to Jim Ovia Chairman and Founder of Zentih Bank Plc.

“Some people think it will take 40 years to write traditional insurance for one person, but with this product it can be done in one year,” said Ovia.

“We expect this to be the game changer and definitely it will be.”

The chairman and founder of the largest lender by profit in Africa’s largest economy, while addressing  audience at the launch of Mobile Insurance in Lagos, said no country can develop without bringing banking service closer to the people and that insurance is a powerful tool to pull people out of poverty.

The country’s financial inclusion rate stood at 63.2 per cent in 2018, according to The Central Bank of Nigeria (CBN)’s 2018 Annual Report on the National Financial Inclusion Strategy Implementation.

The CBN said the figure showed a marginal increase of 4.8 per cent from 58.4 per cent in 2016 to 63.2 per cent in 2018.

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Nigeria’s insurance penetration is less than 1 percent, which is one of the lowest in Sub Saharan Africa as poor regulations, slow growing economy, and apathy towards insurance continues to undermine the industry.

Over 50 percent of a population of 200 million live below $1.98 while unemployment rate is at an all-time high of 23 percent.

“As we adopt digital technology, we are very optimistic millions of Nigerians will embrace the product,” said Keninde Aborishade, Chief Executive officer (CEO) of Zenith General Insurance Limited.

 

BALA AUGIE