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Bullion

Keywords

Insurance, Life insurance, Insurance sector.

Abstract

Life insurance is an insurance contract in which the insured transfers, and the insurer assumes, the risk of death for a specified period of time. As in other insurance businesses, the insured transfers the risk to the insurer, and receives a life insurance policy, upon payment of a premium. The paper outlines the intrinsic benefits of life insurance, assess its performance in the Nigeria situation and examine what a regulator could do to facilitate its development. The paper reveals that, It was observed that there is an ongoing recapitalisation and consolidation programme which would boost the paid up share capital of life insurance companies to a minimum of N2 billion and this is expected to give rise to bigger and better companies. We noted that other reforms that would enhance mobilization of long term funds by the life insurance companies include the compulsory group life insurance policies for employees that come with the pension reforms and annuities.

Author Bio

The author was a staff of the National Insurance Commission , Abuja, Nigeria.

Publication Title

CBN Bullion

Issue

1

Volume

30

COinS
 
 

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