N300m rebranding project gets low response from operators

… As naira crunch keeps shifting
All seem not to be going as planned with the insurance industry N300 million rebranding project that was billed to commence in this first quarter of the year. Investigations revealed that most underwriting firms are reluctant to make any contributions toward the project.

The project which initially was to take-off  in October 2016, could not commence due to paucity of funds and was shifted to the first quarter of this year.

The insurance rebranding project is an innovation of the Insurers’ Committee, comprising the managers of the 58 registered insurance companies as well as the National Insurance Commission (NAICOM) . It is aimed at deepening insurance acceptance and penetration through massive insurance education and awareness across all states of the federation.

To achieve set targets, the committee agreed to allow big insurance firms contribute larger share, while fringe players were encouraged to contribute according to their abilities and also with support of the regulator, National Insurance Commission(NAICOM).

The Guardian learnt that the industry regulator is yet to make any contribution. It was further gathered that the Commission is waiting to see what the operators are able to come up with before making any contribution.

Efforts to ascertain what has been contributed so far, was unsuccessful, as Vice Chairman, Sub Committee Publicity of the Insurers Committee, Ebelechukwu Nwanchuku, said that she is not in a position to comment on the matter.

Observers in the sector had frowned at the timing of the initiative, coming at a time the industry is grappling with financial challenges, especially, with the economic meltdown that has impacted negatively on underwriting business., Also some insurers see it as a duplication of insurance awareness projects which their companies are already embarking upon. Moreover, with companies making recapitalisation moves, some insurers believe parting with such huge money could impair their liquidity.