By Rosemary Iwunze

AIICO Insurance Plc has lamented the low insurance penetration in the country, advocating increased digital sales of insurance products and services to close the huge gap.

According to the company, Nigeria with over 200 million people only has an insurance penetration rate of 0.5 percent.

Speaking on the development at the annual training for members of Nigerian Association of Insurance and Pension Editors (NAIPE) sponsored by AIICO Insurance in Lagos, AIICO stated that the major mechanism in closing this gap is digital sales of insurance products.

Chief Digital & Innovation Officer (CDIO) of AIICO Insurance, Mr. Olusanjo Shodimu while speaking at the training, noted that insurance should be sold through channels that are ubiquitous and accessible to prospects.

Shodimu said: “Nigeria, which is the largest African economy with a GDP of 440 billion USD (2021) and the most populous African country with over 200 million people only has an insurance penetration rate of 0.5 percent.

“The major mechanism in closing this gap is digital sales of insurance products. Insurance should be sold through channels that are ubiquitous and accessible to prospects. The adult population is either on social media or surfing the web and they use their mobile phones to perform these activities.”