AIICO Insurance Plc said it has taken strategic position to be a major player in agriculture insurance underwriting.
The company said this was to deliver the much-needed protection to the different players in the agricultural value chain.
AIICO Insurance Managing Director, Edwin Igbiti, said having recently obtained approval of the National Insurance Commission (NAICOM) as an agriculture underwriter, the firm had been positioned to offer agriculture insurance to Nigerian farmers at all levels, as well as investors looking to tap into the huge potentials of the sector, through its value-based insurance propositions.
He said the company’s competitive edge in this regard was hinged on its understanding of the exact needs of farmers through the application of knowledge and expertise in this line of insurance business.
Speaking on the company’s readiness to play in this space, Igbiti said, “NAICOM’s approval underscores the regulator’s confidence in the company’s capacity and competence to support the agricultural sector.”
He said AIICO’s participation in agric insurance in Nigeria has become necessary given the important role agriculture plays in the economy.
“With an average contribution of 24 per cent, agriculture has remained a significant contributor to Nigeria’s GDP. Being the provider of employment for over 60 per cent of the population, agriculture is pivotal to economic development, and more of the efforts to revive the economy, and reduce significantly the level of poverty, should be devoted to energising the agricultural sector.”
He observed that despite its important position, agricultural sector was exposed to extremely high degree of risk arising from natural factors like weather conditions, pests and diseases and other environmental forces, adding that in response to the dire need for adequate insurance in protecting investments in agricultural sector, AIICO has currently to play in the terrain.
AIICO Insurance is a leading life insurer in Nigeria that operates 24-hour round the clock payment system and utilises an automated insurance online real time service technology platform.