Niyi Onifade, managing director and CEO of Heirs Life Assurance, says Nigerian insurers should offer benefits policyholders can use before a claim to drive wider uptake in a market with low penetration.
In an article on Heirs Insurance Group’s website, Onifade described the Insurance Sector Strengthening Programme (ISSP) as aiming to raise insurance penetration from 0.5% to 10% by 2031. The National Insurance Commission (NAICOM), Nigeria’s insurance regulator, said the programme seeks wider coverage, financial inclusion and innovation. Its Sept. 10, 2026, announcement gave no numerical target.
The World Bank put Nigeria’s insurance penetration at 0.5% of gross domestic product in its October 2025 Nigeria Development Update. For the Organisation for Economic Co-operation and Development, penetration is gross premiums written on direct life and non-life insurance divided by GDP. The measure tracks premiums relative to economic output, rather than the share of people who hold policies.
NAICOM separately reported a 0.5% rate in an Aug. 14, 2025, statement. The rate and the programme’s launch also appeared in earlier EconoTimes coverage of Nigeria’s insurance market.
Onifade argued that customers may recognize the risks of medical emergencies, business disruption and property damage but still see little use for a policy until they suffer a loss. Benefits they can use regularly, he said, could make insurance more relevant during periods without claims.
He proposed financial-wellness support for young professionals, tools and partnerships for small-business owners, and benefits that improve daily life for families. Those proposals would give policyholders something useful before an insured loss occurs, which Onifade sees as a way to address the industry’s limited reach.
Onifade also cited regulation, stronger capital and public awareness as factors in expanding insurance. NAICOM’s programme calls for collaboration across the sector; Onifade’s argument places responsibility on insurers to change what customers experience between claims.
