Insurance Industry paid claims worth N318.2billion in the fourth quarter of 2022, representing a 31.2 per cent growth.
According to Statistic Department Quarterly Report Of the Insurance Market Fourth Quarter, 2022 released by the regulatory body of the industry, National Insurance Commission (NAICOM), the feat was attained as a result of growing awareness and Market expansion as well as consumer’s confidence in insurance industry.
In a similar pattern, the net claims paid were reported at N244.3billion, growing at about eighteen per cent (17.9) QoQ during the same period.
Insights into the Non-life segment shows that Motor Insurance led with regards to claims settlement vis a vis gross claims reported at about ninty-two (92.3) per cent signifying a nine points improvement as against its prior position.
Fire Insurance was the least at about forty-six per cent (46.3 per cent), the only class below average proportion. All other portfolios of General Accident Insurance (80.7 per cent), Oil & Gas (51.6 per cent), Marine & Aviation (74.4 per cent), miscellaneous Insurances (86.1 per cent) recorded a proportion above the average, of paid claims against gross claims
reported.
Life Insurance business on the other hand reported two points less in comparison to the position held in the prior period of ninety-five (94.6) per cent of net claims paid compared to total claims reported during the same period of 2021.
The gross premium income generated as at the fourth quarter of 2022 stood at N726.2billion, representing a growth proportion of about thirty-six per cent (36.3), quarter on quarter and about eighteen per cent (17.8) year on year.
This is a remarkable situation compared to the real growth (3.5 per cent) of Gross Domestic Product (GDP) over the same period and, is attributable to consistent regulatory measures being carried out by the Commission.
Overall, statistics of the insurance market performance for the fourth quarter 2022 revealed consistent growth in terms of premium generation, quality improvements in essential indicators including claims settlement and profitability.
It is obvious that the market could be ruled as sound and stable whilst, the stance of the market deepening remains optimistic in spite of operational and macro-economic challenges.