People say marketing insurance is hard, especially in Nigeria where people believe that God is their keeper.
But with the ability to generate well over ₦141 billion, agents are gradually taking over the underwriting space through retail practice which has placed them top in life business premium drive.
Despite the various challenges confronting the insurance sector and operators, agents have adopted a never say die to achieve a feat thought practically impossible.
The latest edition of the Nigeria Insurance Digest 2020, published by the Nigerian Insurers Association (NIA), revealed that agents generated ₦141.39 billion premium from control life business in 2020.
This feat was made possible through personal sales of insurance, the National President, Association of Registered Insurance Agents of Nigeria (ARIAN), Odewunmi Olakunle, said.
Olakunle further explained that the agents are working to also take control of the non-life business.
Insurance brokers, agents and others earned ₦97.07 billion commission from underwriters and reinsurers in 2020.
Data obtained from the NIA revealed that non-life insurers, paid ₦37.97 billion commission, life operators, ₦52.97 billion, takaful providers, ₦239 billion and reinsurers, ₦5.85 billion.
Insurance agents in 2020, generated ₦164.08 billion of the industries ₦508. 4 billion through Gross Premium Written(GPW), representing 32%.
Brokers generated ₦281.08 billion, which is 55% while direct sales yielded ₦42.95 billion indicating 9%.
Also, banassurance generated ₦4.69 billion, 1%; e-channel, ₦3.77 billion, 1% and others, ₦11.86 billion, 2%.
According to the NIA, out of the industry’s ₦508.44 billion GPW, ₦388.03 billion was generated from Lagos State.
The Chairman, NIA, Mr Ganiyu Musa, said despite the huge challenges in 2020, the industry witnessed growth in its premium written as figures rose marginally by 3.6% from ₦490.8 billion to ₦508.4 billion.
