Insurance companies generated N729.1 billion in premiums during the first three quarters of 2023, marking a substantial increase of N196 billion compared to the N532.7 billion generated in the corresponding period of 2022.
The National Insurance Commission (NAICOM), the industry’s regulatory body, disclosed this information in a document titled “Nigerian Insurance Market at a Glance – Q3, 2023” released on Friday in Lagos.
According to NAICOM, the collected N729.1 billion falls short of the N1 trillion target set for the year by approximately N279 billion.
The report highlighted that insurance firms reported gross claims of N365.5 billion in the first three quarters of the year, with net claims paid amounting to N259 billion. This represents a 24.9% increase compared to the N207 billion paid during the same period in 2022.
NAICOM identified key growth drivers in the industry during this period, citing individual life insurance (36.4% growth contribution) and group life insurance (34.5% growth contribution). Additionally, oil and gas contributed 28.9%, fire contributed 23.6%, and motor insurance contributed 18.1% to the overall growth.
The total size of the industry reached the N2.8 trillion mark, with non-life insurance accounting for N1.74 trillion in total assets and life insurance comprising N1.07 trillion in total assets.
The industry’s paid-up capital amounted to N422.3 billion, total industry capital stood at N848.9 billion, and the statutory deposit was N26.7 billion.
NAICOM also reported a 1.5% change in capital on a quarter-on-quarter basis and a 19.9% change in the months under review between 2022 and 2023.