The Nigerian insurance industry has recorded a landmark financial performance in 2024, with its market capitalization hitting ₦1.2 trillion, up by 41 per cent from ₦850 billion in 2022. This surge comes on the back of a remarkable 56 per cent rise in gross written premiums, which climbed to ₦1.562 trillion from ₦1.003 trillion in 2023.
This was disclosed by Mr. Kunle Ahmed, Chairman of the Nigerian Insurers Association (NIA), during the Association’s 54th Annual General Meeting held on Thursday in Lagos.
Ahmed described the figures as a reflection of growing investor confidence, strengthened regulatory oversight, and strategic market reforms. He announced that the industry’s total assets also rose significantly by 46.1 per cent, reaching ₦3.9 trillion compared to ₦2.67 trillion in the previous year.
“The Nigerian insurance industry in 2024 experienced notable developments, shaped by regulatory changes, economic conditions, and evolving market dynamics,” Ahmed stated.
A deeper breakdown of the numbers revealed that the non-life insurance segment was the largest contributor, generating ₦1.1 trillion in premiums, while life insurance accounted for ₦470 billion. The increase in market capitalization, from ₦850 billion in 2022 to ₦1.2 trillion in 2024, underscores the sector’s growing value and relevance to the broader economy.
Ahmed also revealed that insurers paid out a total of ₦622 billion in net claims in 2024. Of this, ₦437 billion came from the non-life segment, with life insurance accounting for ₦185 billion. He emphasized that these claim settlements demonstrate the sector’s commitment to consumer protection and service delivery.
Driving the strong performance in non-life insurance was increased demand in key areas such as fire, oil, and gas insurance, which recorded consistent quarter-on-quarter growth. In the life segment, group life insurance emerged as the top performer, gaining popularity among corporate clients for workforce protection plans.
Despite these achievements, the NIA Chairman acknowledged that challenges remain. Chief among them are the low insurance penetration rate, weak enforcement of compulsory insurance policies, and the need to fast-track claims settlement procedures.
“As we reflect on the achievements and challenges of the past year, we reaffirm our commitment to driving progress and innovation within the Nigerian insurance industry,” Ahmed said.
He praised the role of recent regulatory reforms and called for deeper stakeholder collaboration to sustain growth momentum. According to him, efforts aimed at market expansion, risk management education, and legal reforms are already helping to shape a more resilient and inclusive industry.
“Our journey is one of continuous evolution. With the support of our members and stakeholders, we remain steadfast in our pursuit of excellence,” he added.
Looking ahead, Ahmed expressed optimism that the sector will continue to strengthen its contribution to Nigeria’s economic development. He reaffirmed the industry’s commitment to deepening financial inclusion, raising professional standards, and expanding insurance access to underserved populations.
The impressive 2024 results place Nigeria’s insurance industry firmly on the path toward becoming a critical driver of national economic resilience, with growing potential to mobilize long-term capital, cushion business risks, and protect lives and property across the country.
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