Amidst concerns that Nigeria’s insurance industry lacks the capacity to underwrite evolving aviation risks, industry leaders have strongly refuted these claims, emphasizing their readiness and expertise in the sector.
Prince Babatunde Oguntade, President of the Nigerian Council of Registered Insurance Brokers (NCRIB), responded to the government’s concerns at the Council’s Members’ Evening in Lagos. He argued that the local insurance industry is well-equipped to handle aviation risks, noting that many insurance companies have significantly invested in building the necessary expertise and capacity.
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“We believe the government’s concerns can be addressed through collaboration and capacity building. We are open to working with the government to identify areas where the industry can improve and develop strategies to address those gaps,” Oguntade stated.
Supporting this view, the Commissioner for Insurance, Mr. Segun Omosehin, highlighted the National Insurance Commission’s (NAICOM) prudential guidelines for underwriting, reinsurance, and investments, which he said are designed to protect risks in the aviation sector.
Echoing these sentiments, Chief Babajide Olatunde-Agbeja, Chairman of Boff & Co. Insurance Brokers Limited, and a key participant at the 4th Chinet AviaCargo Conference in Lagos, affirmed the competence of Nigerian insurance professionals in managing aviation risks. He added that patronizing local insurance firms is in line with existing laws and could enhance the industry’s expertise and contribution to Nigeria’s Gross Domestic Product (GDP).
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The consensus among industry leaders is clear: the Nigerian insurance industry is fully capable of underwriting aviation risks and is poised to continue developing its capacity to meet the evolving demands of the sector.
