Agents shun insurance, find succour in real estate business

From left: National Vice President, Association of Registered Insurance Agents of Nigeria, Jegede Olatunji and President, Insurance and Pension Editors , Chuks Udo Okonta at the event.

* Many eye jobs in pension sector

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Chuks Udo Okonta

At the time insurance agency network in the country is expected to provide employment opportunities for over 500,000 graduates every year, many of the trained agents are presently opting for jobs in real estate due to maladies associated with renewal of their operational licenses.

Confirming this development, the National Vice President, Association of Registered Insurance Agents of Nigeria (ARIAN) Jegede Olatunji, told Journalists during a visit by Insurance and Pension Editors of Nigeria (IPEN) to the association in Lagos that the adoption of electronic submission of documents for licence renewal has been a challenge for many agents, hence, some of the agents who couldn’t cope with the challenge have left insurance industry into other sectors such as real estate for business survival, at a time the industry is struggling to increase insurance penetration.

Another agent told Inspenonline that many agents have picked up jobs in the pension sector and several others are presently seeking job opportunities in the pension industry.

ARIAN’s National President, Kunle Odewunmi, had at one of the association’s events, said Nigeria population stood at more than 200 million and 60 per cent of this are below 65 years with over 105 million working class and that the agency network could provide jobs for over 500,000 young Nigerians.

He noted that the insurance industry has attracted more foreign direct investment into the Country more than any other sector, stressing that obviously, Nigeria has massive potential for Insurance business growth, no wonder several foreign Insurance Companies are making inroad to Nigeria.

He submitted that insurance companies in Nigeria have not been able to leverage on the massive market because of low investment in technology.

“We as an Association, our strategic objective is to drive Insurance penetration in accordance with National Insurance Commission (NAICOM) Market Development and Restructuring Initiative (MDRI).

“The insurance Agency network can provide employment opportunities for over 500,000 graduates every year while at the same time help to mop up investable funds for national development,” he posited.

From left: National Adviser, Association of Registered Insurance Agents of Nigeria, Chinomso Eze; National Vice President, Jegede Olatunji: and National Treasurer, Jeremiah Okpako at the event.

He maintained that as an association, his administration is going to empower members through Marketing Automation, because they believe agents need technology to access more clients and market.

Agents over the years have continued to enhanced insurance industry’s gross premium income as data obtained from the Nigerian Insurers Association (NIA) revealed that insurance agents are gradually taking over underwriting space through retail practice which has placed them top in life business premium drive.

NIA in its Nigeria Insurance Digest 2020, stated that agents controlled life business with N141.39 billion premium generated in year 2020.

ARIAN’s National President, Olakunle; told Inspenonline that the feat was achieved through personal selling of insurance, adding that agents are working assiduously to also take control of the non-life business.

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