The Effect Of Insurance Industry In Promoting Banking Services In Nigeria

The Effect Of Insurance Industry In Promoting Banking Services In Nigeria

Abstract

The end of this exploration study is to identify the effect of insurance assiduity in promoting banking services in Nigeria.( A study of Skye Bank Enugu Metropolis). The objects of this exploration work is to examine and dissect the success of banking business in Nigeria and the places insurance sector play in promoting their services and also to identify the colorful problems and challenges facing Nigeria banks. The Affiliated literature review of this work include; The literal background of skye bank Nigeria. For a successful completion of this exploration work, the experimenter made use of both primary and secondary styles of data collection of information gathering. Primary data were collected through questionnaire, administration, oral interview, and particular compliances. Secondary data were collected through journals, handbooks, lectures, scrapbooks and internet. The data collected were presented in table and anatomized with simple chance while the thesis stated were tested with ki- forecourt. The summary of findings made by the experimenter include the following it was discovered that insurance assiduity has appreciatively told the services of Nigeria banking assiduity. In conclusion, the future and success of Nigeria banks lies substantially in the hands of insurance assiduity; thus, Nigeria banks needs insurance assiduity to survive. The experimenter recommends that Nigeria government should support the conditioning of insurance assiduity in order to boost the effectiveness of Nigeria banking services.

TABLE OF CONTENTS.

Title runner——— i

blessing runner——– ii

fidelity——– iii

Acknowledgment——- iv

Abstract——— v

CHAPTER ONE

preface

Background Of The study—- 1

Statement of problem—– 4

objects of the study—– 5

exploration Questions—– 5

exploration thesis—– 6

Significance of the study—- 7

compass and limitations of study— 8

description of functional terms— 9

Reference——– 16

CHAPTER TWO.

REVIEW OF RELATED LITERATURE.

An overview 17

literal background of Skye Bank Nigeria. – 19

Immediate causes of bank failure in Nigeria- 21

Factors affecting Nigeria banking system- 24

Fraudulent station believe—- 25

Social influence——- 26

High rate of ignorance in the society— 26

Nigeria deposit insurance pot

NDIC) programs towards bank development- 27

places of insurance assiduity in promoting services 29

General effect on insurance conditioning in

Nigeria banking services—– 33

Reference——–

CHAPTER THREE

exploration METHODOLOGY AND DESIGN.

An overview——- 37

. Source of data——- 37

Primary data——- 38

Secondary data—— 38

Population of the study—– 39

Sample size——- 39

Instrument used in determining the sample size 40

Validity of the instrument used— 41

system of data donation and analysis– 42

CHAPTER FOUR

DATA REPRESENTATION AND ANALYSIS

An overview——- 44

Data representation and analysis— 44

Testing of thesis—- 59

CHAPTER FIVE

Summary Of Findings, Conclusions And Recommendations

Summary of findings—– 65

Conclusions——- 66

Recommendation—— 67

Bibliography——- 69 excursus——– 70

Questionnaires——– 71

Chapter One

Preface

Background Of The Study

Nigeria as a developing country has been scuffling with the realities of development process, not only politically and socially but also economically. Since profitable development is perceived as amulti-dimensional process, it requires not only capital and technology but also station and the creation of the institutional structures. It also includes special protection of the fiscal institutions.

The banking system has therefore been singled out for this special protection because of the vital places banks play in an frugality especially in the process of profitable development. According toC. Arthur Williams jr( 1992), the establishment of insurance protection and cover through Nigeria Deposit Insurance Corporation( NDIC) was informed by profitable circumstances and by a number of other considerations. The profitable circumstances involved the new profitable policy of government, the bitter experience of previous bank failures in Nigeria and the assignments from other countries with bank deposit insurance scheme.

The torture in the banking system frequently precipitate other heads and this has needed nonsupervisory and administrative authorities to take a series of conduct and intervention in response to these problems.

The exigency of Nigeria Deposit Insurance pot into fiscal sector of the Nigeria frugality was borne out of necessity and need to check the ceaseless rise and fall of indigenous banks, therefore, the objects of the Nigeria Deposit Insurance pot are to cover bank depositors, insure stability in the assiduity, encourage healthy competition among banks at foster, informed threat taking by insured institution, entitlement fiscal backing to banks passing difficulties among others.

Insurance assiduity also stand as a threat transfer medium that can also give cover and protection to some certain misgivings that can negatively affect Nigeria banking services. According toJ.O Irukwu( 1999), Insurance cover pitfalls like

Loss of structure and contents to fire and special threats

Loss of cash- in- conveyance and cash- in-safe

Loss or break down of computers and other business machines

Loss due to infidelity of workers

Loss due to bad debts

Theft in the business demesne

Loss of crucial workers

Loss due to professional negligence

The experimenter in this exploration work was urged by the curiosity to know the challenges facing Nigeria banking and how important insurance assiduity has contributed to attack and break those challenges.

Statement Of Problems.

The under listed problems are what led to this exploration

1. Liquidation of banks

2. Weakness of internal control

3. Inconsistency in financial and banking policy

4. Fraudulent and unskillful conduct of bank staff, depositors and guests

Objects Of The Study

1. To determine the effect of insurance assiduity on bank liquidation in Nigeria.

2. To estimate the extent of weakness of internal control system in Nigerian banking assiduity.

3. To examine the impact of inconsistency in financial and banking policy.