Insurance Industry Grows By 15% In GPI In 2020

Agusto & Co. Limited, the pan-African credit rating agency has estimated a 15 per cent growth in Gross Premium Income (GPI) for the financial year ended December 31, 2020.

This was revealed in the agency 2021 insurance industry report. The 2021 edition of the annual report provides a comprehensive review of the insurance landscape in Nigeria and the near-term expectation for the Industry.

Contained in the report is a review of the coronavirus pandemic, as it affects the Nigeria insurance industry and strategies adopted by insurers to minimise the associated disruptions while optimising the opportunities provided by the pandemic.

Innovation in product distribution induced by the pandemic, regulatory-backed opportunities including the digitisation of marine insurance certificates and increasing awareness of the benefits of insurance products were some of the GPI growth drivers during the 2020 financial year.

According to Agusto & Co., the violence that trailed the #EndSARS protest in October 2020 adversely impacted the Industry in terms of additional claims, which in turn impaired profitability for the 2020 financial year and would moderate the performance of some insurers in 2021.