Insurers deepen market expansion through new SME offerings
Diversifying insurance products to meet needs of Small and Medium Enterprises (SMEs) will help to increase the insurance market and contribute maximally to the nation’s economy.
The Chief Executive Officer, AXA Mansard Insurance Plc, Kunle Ahmed, said this as he hinted that the new offering called ‘Business Insurance Plan’ (BIP) would have a positive impact in the lives of Nigerians.
Ahmed said insurance all over the world remains a risk-mitigating mechanism, especially at a time of pandemic. According to him, (BIP) is a one-stop insurance solution that addresses the business risk exposures of small and medium enterprises. It is a pot-pourri of highly beneficial insurance risks management solutions bundled together. These solutions include business content, group personal accident, SME life, health care, public liability, optional covers, professional indemnity, comprehensive motor, stock and general conditions.
“Every business comes with a certain amount of risk. Although pitfalls and challenges cannot be avoided, they can be mitigated with the proper precautions, planning, and insurance coverage. These risks and pitfalls are what the Business Insurance Plan seeks to address.”
He noted that with 17.4 million SMEs in Nigeria, the role they play in the growth and development cannot be overemphasised. They are a significant force in reducing unemployment and accelerating GDP growth. We are, therefore, very excited to be able to provide this innovative solution that ensures they continue to thrive.
Chief Client Officer, Rashidat Adebisi, said: “The driving force behind the development of this product is AXA’s purpose, which is to “Act for human progress by protecting what matters”.
Despite the slow adoption, she said there is no doubt that penetration would increase and the premium would rise also. The Managing Director/Chief Executive Officer, Anchor Insurance Company Limited, Ebose Augustine Osegha, said insurance all over the world remains a risk-mitigating mechanism.
Ebose, called on the government at all levels to brace up for challenges in future by providing insurance for their workforce.
According to him, “even the business community is not left out. Before now, most business concerns looked away from taking business interruption covers for their operations.
“Also, most employees would not see the need to pick the loss of employment insurance covers because there will be job losses after the pandemics. Whatever effects they must be feeling now would have been mitigated if they had picked policies of the types I have mentioned here.”
On claims, Ebose said the insurance sector was experiencing a high ratio but added that with the adequate and necessary reinsurance plans already put in place as well as the insurance reserve, the sector has been up to its task.