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By Henry Uche
Nigeria’s insurance sector recorded 27.3 per cent growth in total assets year-on-year, to N4.2 trillion in the first quarter of 2025 (Q1 2025), against N3.3 trillion recorded in the corresponding period of 2024. This is according to the first quarter report of the sector released by the regulator, the National Insurance Commission (NAICOM).
According to the report, the non-life insurance business recorded N2.7 trillion in assets, while the life insurance business recorded N1.4 trillion. NAICOM maintained that the industry outlook is better interpreted as positive against the backdrop of ongoing regulatory initiatives, including sector-wide digitization and risk-based supervision, among other measures.
Further breakdown of the report shows that total Gross Premium Written (GPW) increased by 63.4 per cent to N769.2 billion in Q1’25 from N470.7 billion recorded in the corresponding period of 2024.
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The report stated: “The industry recorded a gross premium written of N769.2 billion for both life and non-life businesses during the quarter, the highest-ever premium generation in a first quarter period of any year. This is also an indication of the fulfilling potentials of the market that has come of age, as the industry looks towards technology and big-data-driven policies for expansion. “The non-life segment retained its relative dominance in the market, contributing 64.0% to the total premium pool, mirroring its performance in the corresponding quarter of 2024. On the other hand, the life insurance segment accounted for 36.0% of all the premiums generated during the same period.
“Insight into the non-life segment indicates that the Oil & Gas portfolio remained the major contributor, accounting for 38.3% of the total non-life premiums during the quarter. This was followed by Fire Insurance with 18.7% and Motor Insurance at 15.8%. Meanwhile, the Marine & Aviation, General Accident, and Miscellaneous portfolios contributed 10.9%, 9.9%, and 6.4%, respectively.”
Industry doyens across the value chain are of the view that the sector is demonstrating determination to succeed amidst operational and macroeconomic challenges.
They added that the increase in total premium written points to the sector’s perseverance and resilient ability despite the prevailing volatile, uncertain, complex, and ambiguous economic environment.
The experts urged all stakeholders to conscientiously work in synergy and in unity of purpose to elevate the sector under review, so it can sit comfortably among other thriving sectors in the comity of the larger financial industry. “The insurance sector in Nigeria has come a long way. We’re no longer babies. It’s high time we all work hand in glove to project and catapult this critical and indispensable sector to assume its rightful position in the comity of shakers and movers of the financial industry,” they unanimously implored.
