Olamide Olajolo
MD/CEO Coronation Insurance

By Ngozi Onyeakusi—The need to procure insurance as a means of mitigating risks took centre stage at Coronation Insurance Plc’s webinar with the theme: “Shared Prosperity through Financial Inclusion: Protecting Your Business,” held today.

Presenting a keynote speech at the event, the Founder/CEO at Lendsqr Me Adedeji Olowe stated that life is filled with uncertainties, hence when the worse happens, insurance comes forth to cover losses insulating one against the shocks of losses as well as protects one against unexpected losses that can affect one’s finances” .
He urged businessmen and women to embrace insurance as a risk mitigation mechanism for their businesses.
“What insurance does is to protect your business. It gives you the ability to create wealth. For instance, if you are an Uber driver and you don’t have car insurance, if your car has a problem, maybe the only thing you have is a Third Party; it means that you need to first find money to fix that car. It means that during this period your ability to earn money with that car is taken away.

“Insurance actually protects what we call the factors of production. If you are a professional – a Lawyer or an Accountant you need to buy Professional indemnity because professionals are human beings and they can also make mistakes and sometimes these mistakes can cause a lot of problems.  What professional indemnity does is to protect you and whenever there is a problem; insurance will come in to handle the damages and claims that might be laid against your business”, he said.

He said described insurance as an oxygen for building wealth

“Without insurance, whether you are a professional or an artisan, you cannot build a sustainable lifestyle. Insurance is the oxygen for building wealth.  It gives you the foundation to handle risk. For example, if you are a businessman and you want to do a major contract, you must have insurance to be able to get the contract.”

On the relationship between insurance and financial inclusion, Adedeji said the two work hand in hand.

“Today we know full well that lack of education and financial inclusion goes hand in hand. It doesn’t mean that if you are not educated you will be poor; neither does it mean that if you are educated you will be rich. It happens that those who are not educated don’t make good decisions that end up making them to be poor, the same thing with insurance and financial inclusion. Insurance is part and parcel of financial inclusion. Those who are educated have insurance because they understand what this means for them.

“Without insurance, there can never be financial inclusion anywhere… insurance, lending and credit are tied together,” Adedeji said.

Similarly, the CEO of Triift Africa, Mrs. Yemisi Isidi submitted that her organisation preferred giving credit to customers who have insurance coverage adding that those without insurance often lose all they have when risk occur. ” Most of our business is working with sole proprietors , when there is fire for instance they lose all but with insurance you have confidence to give them credit. We always recommend insurance “, she said.

On his part, the Managing Director/Chief Executive Officer of Coronation Insurance Plc, Mr. Olamide Olajolo, who emphasized the importance of Insurance in wealth creation and national economic growth added that insurance gives peace of mind.
He noted that with insurance, one has a certain level of peace of mind that his or her future is guaranteed against unexpected loss.