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Economic and Financial Review

Publisher

Central Bank of Nigeria

Keywords

External Sector, Nigeria, Second Quarter

Abstract

Important rughlights of the report include the fact that Insurance business was prosperous in 1987 as the income of insurers rose significantly faster than their expenditures. However, the prosperity affected the companies in the nonlife business more as the premium income of life insurance companies declined sharply in 1987 during which period their expenditure also increased. In terms of ownership, the prosperity accrued mainly to wholly indigenous non-life companies most, as these companies dominated the more lucrative aspects of insurance business in 1987. Another important point in the report is the fact that minimum paid-up capital stipulated in the Insurance Decree of 1976 might, in the light of recent price developments have been rendered inadequate. The report therefore suggests that the Decree, which stipulated a minimum capital requirement of N300,000 for non-life and N500,000 for life insurance companies, will, in view of the above-mentioned fact, appear to be due for a review.

Author Bio

The authors are staff of the Statistical Surveys Office, Statistics and Econometrics Division, Research Department, Central Bank of Nigeria

Publication Title

CBN Economic and Financial Review

Issue

2

Volume

27

Recommended Citation

Central Bank of Nigeria (1989). Nigeria's Insurance Industry in 1987. CBN Economic and Financial Review. 27(2), 61-72.

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