Among all the classes of insurance business, life insurance has the brightest future but the operators are only scratching the surface in terms of product marketing and distribution among Nigerians.
This was the position of the General Manager Marketing, African Alliance Insurance Plc, Mr. Ikechukwu Emezi on the status of life insurance business in Nigeria.
Emezi, in a recent chat with THISDAY on the performance of his company’s agency system in the marketing of life insurance in different parts of the country, said there are a lot of potential in life insurance business in Nigeria, but that unawareness level has remained very high.
This, according to him, accounts for underdeveloped nature of the business .
He said if Nigerians are aware of what insurance can do in their day to day living and what they stand to gain, they will include insurance expenses in their daily budget.
“Awareness, is a major problem, if people are aware of what insurance can do, and the succor insurance can give to them, they will not hesitate to buy insurance.
“There are three things involved when one takes life insurance policy, one is either the person dies and the sum assured is given to the beneficiaries, or the policy matures and he takes his benefit.
“People should be educated not to look at life insurance from the perspective of death. The benefit can come at maturity, there is also investment element in it as well as financial protection. If you take a life insurance cover and you live up to maturity period, it will be given to you to carry on with your life. So is not only on death, is one product that offers three things in one, there is investment element, there is financial protection opportunity “, he explained.
Emezi, who said African Alliance, ranks third among life insurance specialist companies in Nigeria, informed that the company’s target is to occupy first position in life insurance underwriting.
He said the firm, is a front liner in effective use of agency system in life insurance distribution nationwide.
According to him, agents, account for success recorded by the company annually adding that this is why the company organises annual agency award ceremony meant to reward its agents that excel in production.
He also said through this, African Alliance inculcates healthy competition among the agents.
He noted that for three consecutive years, agents at Onitsha area gave the company the highest output, a situation which he attributed to the effort of the company’s agents operating in the area.