Expert canvasses focus on groups, alliances

　


Chuks Udo Okonta

The Managing Director Riskguard-Africa Nigeria Limited Yemi Soladoye, has urged insurance underwriters to develop products to catpure business opportunities within professional groups and alliances.

He told Inspen that there are enormous untapped business opportunities within professional and cultural groups which can boost the profitability of operators.

He noted that the business culture of operators has stemmed the growth of the industry, adding that the operators are comfortable with going to brokers to collect cheques.

He said: "The business culture of operators has not helped the situation. The operators like going to a broker to collect cheques, forgeting the fact that under the Market Developement and Restructuring Initiative (MDRI) there is focus on groups and alliances. Take for an example, a group like the Nigerian Bar Association (NBA), I am sure it has about 20,000 members, if an insurance company designs a product for all members of NBA, and each of them pays N10,000 in a year, that would amounts to N200 million.

"The cost on this type of business is always low. This and many other types of business initiatives are what the MDRI focuses, which the underwriters are slow and failed to adopt."

He noted that for the industry to thrive, the operators must embrace new trends and strengthen their retail marketing strategy.