The Gross Premium Written in the Nigerian insurance industry ecosystem has grown to N1.173 trillion at the end of the third quarter 2024.
This represents a 60.9 per cent year-on-year and 44.3 per cent on a quarter-on-quarter basis.
This is even as gross claims reported in Q3 2024, surged to N564.1 billion which represents 48.1 per cent of the total premiums generated during the period.
The industry regulator, the National Insurance Commission (NAICOM) made these known in the Third Quarter Bulletin of The Insurance Market Performance while revealing that Non-life businesses contributed N808.4 billion of the total premium, 68.9 percent growth, while the life business contributed N364 billion, equal to N31.1 percent.
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The growth according to NAICOM was driven by the sector’s market resilience and policy reforms of the Commission aimed at deepening penetration.
NAICOM said this analytical report of the Insurance Industry Statistics is a description of the Market performance during the period of third quarter, 2024. It shows resilience amid macroeconomic challenges, sustaining the industry growth trajectory at 60.9 per cent, year on year, and 44.3 per cent on a quarter-on-quarter basis, to close at about N1, 173.1billion in gross premium written.
According to the Commission, the Gross premium written in the third quarter of 2024 stood at N1, 173.1billion, a remarkable occasion attributable to the consistent deepening policy of the Commission and market resilience. The performance was majorly led by the non-life sector, recording a market share of 68.9 per cent for a total volume of N808.4billion while the life segment accounted for 31.1 per cent of the market premium aggregate.
The industry Statistics reveals that the market has achieved a substantial higher rate of growth compared to the national output (GDP) which grew at 3.5 per cent during the period under review, signifying its impressive performance and potential propensity.
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The Non-Life segment maintained its dominance, accounting for 68.9 per cent of the total premium generated during the period, closely aligning with its 69.1 percent share in the previous quarter. Within this segment, the Oil & Gas portfolio led with a 35.2 percent contribution, followed by Fire Insurance at 21.3 percent. Motor Insurance also accounted for 14.4 percent, while Marine & Aviation, General Accident, and Miscellaneous contributed 12.4 percent, 9.0 percent, and 7.5 percent, respectively.
The Life business on the other hand contributed 31.1 percent of the total premium, gradually increasing its proportional share of the industry’s gross premium. Analysis of the Life Insurance segment also shows that, Annuity business accounted for 31.8 percent of the total gross premium, while Individual Life business led with about 41.8 percent contribution of all the life insurance premiums during the quarter.
The Commission further noted that the improvements in claims management of the industry has served as driver for expansion in gross claims reported in Q3 2024, reaching N564.1 billion which is representative of about 48.1 per cent of the total premiums generated during the period.
