Insurance Penetration: Law Union & Rock harps on ICT
By NGOZI Onyeakusi …
An Expert has urged Insurers to leverage on technology to harness the untapped insurance market.
The Chairman, Law Union & Rock Insurance, Mr Remi Babalola made the call at a breakfast seminar organized by the Chartered Insurance Institute of Nigeria (CIIN), Titled;,Millennial: Digital Transformation and the Nigerian Insurance Industry.
Babalola regretted that with Nigeria’s huge population of over 180 million and a N95 trillion economy, Insurance penetration was still less than 0.5% while Kenya and Ghana were 3% and South Africa 13%. He therefore called on the use of technology to grow insurance business in the country.
“How do we penetrate the untapped market using technology and changing the narrative of Insurance from a want to a need? We have 92 million internet-enabled phones in this country, which presents unusual opportunity for e-commerce explosion.
Who are millennials, why are we talking about them and what makes them very unique and important? Generally speaking, people talk about older generation and younger generation to depict that there are differences in values and expectations between these generations. Intellectually speaking, a generation is defined by people who were born about the same time, experienced some life changing events that, to some extent, defined them and shaped their work values”.
Speaking further, he maintained that Insurance Industry must embrace a digital transformation with laser beam by changing customer relationships and experiences, redefining value propositions and optimizing business models and processes.
Apart from social networking, he said, banking is the most frequently completed online activity by millennials. When asked about Insurance apps and Insurance linked investment/risk management activity, the response was poor.
He insisted that Insurance industry needs to embrace the strategic significance of social channels. “We need to be where the customer is and be part of the conversation where they interact, exchange opinions and levy complaints.
When millennials visit your websites, what they expect are security first, speed and availability, easy usage and simple understanding, quality contents and ability to complete transactions with little or no physical human interface”
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