The recent flooding in Lagos and other parts of the country may have further exposed the lacklustre attitude of Nigerians toward insurance policy uptake and risk management, with the majority of the victims left with no insurance buffers to fall back on.

Amid the worry, the Nigerian Insurers Association (NIA) said victims with active policy cover would be adequately compensated, even as it called on policyholders whose insured assets were damaged by the flooding to notify their insurers and commence the claim process.

Stakeholders warned that the disaster has once again exposed Nigeria’s low insurance penetration and growing vulnerability to climate-induced losses.

With Nigeria’s insurance penetration still below one per cent, industry experts warned that the latest flooding has highlighted the country’s huge protection gap, leaving thousands of households and small businesses to bear the full cost of losses without financial compensation.

From Akwa Ibom to Lagos, victims are seeking the government’s intervention to help bear the huge damage caused by the flood.

Speaking on the development at the weekend, the NIA Chairman, Ebelechukwu Nwachukwu, expressed sympathy to the victims.

She urged policyholders with valid insurance cover to promptly contact their insurance companies, brokers or agents and submit necessary documentation for loss assessment and speedy settlement of their claims.

According to her, member companies of the association remain committed to settling all valid claims in line with the terms and conditions of insurance policies.

“Insurance remains one of the most effective financial safeguards against the devastating economic consequences of natural disasters. We encourage all affected policyholders to notify their insurers promptly so that the claims process can commence without unnecessary delay,” she said.

Nwachukwu noted that while proper environmental sanitation, responsible waste disposal and regular clearing of drainage channels remain essential in reducing flood risks, preventive measures cannot eliminate natural disasters.

She described insurance as a critical pillar of economic resilience, saying it enables individuals and businesses to recover financially after unforeseen losses and resume normal economic activities.

The NIA Chairman, who is also the Managing Director/Chief Executive Officer of Rex Insurance Limited, reaffirmed the industry’s commitment to prompt settlement of genuine claims and assured policyholders of continued support throughout the recovery process.