Yemisi Izuora
Leadway Assurance is supporting efforts to advance Nigeria’s insurance industry through its sponsorship and support of the launch of the Insurance Sector Strengthening Programme (ISSP), a five-year initiative.
The programme, held in Abuja, was designed to address key challenges limiting insurance growth in Nigeria, including low public awareness, weak consumer confidence, inadequate distribution, capacity constraints, and limited insurance adoption among women, young people, and Micro, Small and Medium Enterprises (MSMEs). The ISSP seeks to increase Nigeria’s insurance penetration from the current 0.5 per cent of Gross Domestic Product (GDP) to 1.5 per cent by 2028, with a broader target of 10 per cent by 2031.
Speaking at the launch in Abuja, the Commissioner for Insurance and Chief Executive of NAICOM, Mr Olusegun Ayo Omosehin, said the programme would provide a coordinated framework to translate industry reforms into measurable improvements in insurance coverage and consumer confidence.
According to him, “The ISSP initiative will focus on six key areas: advocacy and policy, awareness and education, capacity building, gender inclusion, youth engagement, and MSME and value-chain development. Efforts to expand insurance coverage must be supported by strong underwriting standards, good corporate governance, effective claims administration, transparency and adequate policyholder protection. Regulation must serve as both a shield for policyholders and a compass for responsible market development.”
Supporting the initiative, the Head, Commercial Division, Leadway Assurance, Mr. Olawale Alao, described the ISSP as a timely intervention capable of tackling both the structural and perception-related challenges confronting the industry. Alao said the programme offered stakeholders a structured platform to identify market gaps and develop practical solutions to improve public understanding and participation.
He said its success would largely depend on changing the perception of insurance from an optional financial product to an essential part of everyday life and financial planning.’
“Over the next five years, we believe this initiative can deepen awareness, particularly among young Nigerians, build stronger trust in the sector and encourage more people to see insurance as an essential tool for protection and financial resilience,” he said.
Alao said increasing the number of policyholders alone would not be sufficient, stressing that Nigerians must also understand the value of insurance and be able to incorporate it into their everyday financial decisions. He added that stronger awareness and confidence in insurance would be particularly important among younger Nigerians, who represent a major part of the country’s future consumer and investment base.
Also speaking on this initiative, Team Lead of the ISSP Design Team and Managing Director of EMDI Capacity Development Ltd., Bukola Ifemade, called for urgent and coordinated action to unlock the trillion-naira potential of Nigeria’s insurance sector.
“This flag-off marks the beginning of this mobilisation. Success will require strong partnerships and a sustained commitment to innovation and inclusion,” he said.
The ISSP executive summary estimates that only about five per cent of Nigeria’s population currently has insurance coverage, while 78 per cent lack basic insurance knowledge. Women account for 32 per cent of policyholders, people aged 18 to 35 make up less than 20 per cent of the industry’s customer base, and insurance penetration among MSMEs is estimated at eight per cent. To address these gaps, the programme will target five million members of the general population, two million women entrepreneurs and decision-makers, 1.5 million young Nigerians and 250,000 MSMEs across Nigeria.
For Leadway, supporting the ISSP aligns with its commitment to building a formidable insurance industry by enhancing awareness, building consumer confidence, and making financial protection more accessible to individuals, families, and businesses.