Insurance industry records N729.1bn gross premium in Q3 2023

The National Insurance Commission (NAICOM) has released the third quarter 2023 financial results of the Nigeria insurance market with the industry recording a modest growth.

NAICOM, in an abridged version of the report titled “Nigeria Insurance Market At A Glance – Q3, 2023,” made available to the media, stated that the industry’s gross premium written for non-life and life businesses was N729.1 billion whilst gross claims and net claims respectively stood at N365.5 billion and N259.0 billion.

The major drivers of the growth during the period under review, according to NAICOM, for non-life segment are oil & gas, fire and motor.
Oil & gas recorded 28.9% growth while fire and motor insurance contributed 23.6% and 18.1% respectively.

For Life segment, individual life contributed 36.4% while group life raise the industry’s performance with 34.5%.
The industry’s claims ratios during the period under review showed that total claims to total premium was 59.1%, ratio of claims paid to industry was 70.9%, ratio of claims paid to non-life was 55.0% and ratio of claims paid to life was 94.9%.
NAICOM stated that the change in market capitalization was 1.5% quarter on quarter and 19.9% year on year translating to total paid up of N422.3 billion, total industry capital N848.9 billion and total statutory deposit N26.7 billion.

The Changes in market size, according to NAICOM report, were 4.1% quarter on quarter and 23.5% year on year broken down thus – industry total size N2.81 trillion total assets – non-life N1.8 trillion billion and total assets – life N1.1 trillion.