Tuesday, 23 July 2013

FG considers insurance veritable tool in vision 20:2020


 

Chuks Udo Okonta

The Federal Government has said insurance industry has to play veritable role in the nation’s quest to be among the 20 largest in the world by the year 2020.

President Goodluck Jonathan, who disclosed this in Abuja, said the federal government recognizes the vital role of insurance in the economic development and would continue to support the industry towards achieving set objectives.

He said in line with his administration’s support for the industry, it has embarked on policies designed towards achieving growth and development for the sector.

He said: “This administration is aware that insurance is an essential ingredient of economic growth and development of any country. Without insurance, companies and individuals would not be able to manage risk; the world would be a far less innovative place and many of the activities people and government take for granted could be prohibitively risky. So we value insurance, moreso the Nigeria insurance industry has been making useful contributions to our economic life.

“Indeed, one of the major lessons of the economic turmoil in the recent past is the need for transparent, efficient and neutral government regulation of the financial services sector. We believe that this is the right platform upon which accessible, robust and dynamic markets for financial products are built. This administration clearly understands and recognizes this fact and has actually embarked on policies designed towards achieving growth and development in the insurance industry in the country.

“This is evident under the Group Life Insurance Policy where the federal government has provided the lead by ensuring that its entire employees are fully insured. In the same light, Government has also ensured adequate insurance of its assets and property.

“In line with our transformation agenda, a key driver of the current reforms in the insurance sub-sector of the Nigerian economy is the desire to grow and develop the micro-insurance and Takaful markets. It is the hope of this administration that the drive will engender the desired growth and market penetration.”

He said the on-going reforms in the insurance sector are aimed at creating a world-class regime for insurers and provide significantly enhanced protection for Nigerian policyholders.

 

   

 

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