Insurance industry and risk management in nigeria

Abstract

The insurance industry serves as a vital pillar in the financial system by providing mechanisms for risk transfer and financial protection against uncertainties. In Nigeria, the insurance sector plays a critical role in promoting economic growth and development by mobilizing savings, protecting assets, and fostering investor confidence. Over the years, the Nigerian insurance industry has undergone significant reforms aimed at strengthening its regulatory framework, improving market penetration, and enhancing the overall stability of the financial sector. Despite these efforts, the industry faces numerous challenges including low insurance awareness among the populace, regulatory compliance issues, and the management of emerging and complex risks.