Prospects high for Insurance Industry’s growth, says Babalola

March 09th, 2018

The former Minister of State for Finance and Vice Chairman, Law Union & Rock Insurance Plc, Remi Babalola, has said that there are huge potentials for the insurance sector to grow in the country.

He made the remarks during the company’s yearly general meeting in Lagos, Babalola, observed that the insurance penetration in the country was still low.

The low penetration of this sector shows clearly the humongous growth potential. The regulatory environment is improving and hopefully best practice can be attained, he said.

He said that with investment from private equity firms and foreign investors/partners as seen in companies such as Mansard, Leadway Assurance, Custodian and Allied Insurance Limited, Cornerstone Insurance Plc and Law Union & Rock Insurance Plc, the sector was slowly but surely changing for better.

Babalola said the regulator still needs to aggressively enforce all compulsory insurance classes as well as deepen the public enlightenment programmes on the advantages and benefits derivable from insurance activities.

The turnaround of Law Union & Rock Insurance Plc is gaining traction as drastic improvements are seen in corporate governance, risk management, investment portfolio and higher level of trust in the company as claims are paid seamlessly, effortlessly and promptly, he said.

He pointed out that the composition of the board and management depicts people of high integrity and professionalism. The company is solid as the rock with over 60 years of underwriting excellence and renewed dynamism.