THE ROLE OF INSURANCE COMPANY IN NIGERIA AS NON-BANKING FINANCIAL INSTITUTION: PROBLEMS AND PROSPECTS
ABSTRACT
This study seeks to provide general information and knowledge about the impact of insurance companies in the business world. Benin City business organization case study. The scope of the study is primarily based on the impact insurers have on business stakeholders, individuals and the business community. Set goals were set in this study, and in order to achieve these goals, set questionnaires and oral interviews were conducted, and several secondary studies were conducted from books, magazines, and newspapers to collect useful information. data has been obtained. Data was analyzed to produce findings that show that Nigerian insurance companies have disappointed the Nigerian people when it comes to providing insurance services. Some of such failures are non-payment or settlement of claims by capitalizing on the ignorance of their legal right and genuine development and expansion of business forms. Also from the findings, policy recommendations were made to insurance companies so as to regain their public fast fading confidence on them.
TABLE OF CONTENT
CHAPTER ONE
Introduction
Background of the study
Statement of the problems
Purpose of the study
Significance of the study
Research questions
Scope of the study
Limitation of the study
CHAPTER TWO
Literature review
CHAPTER THREE
Methodology
Research design
Population of the study
Sample of the study
Instrumentation
Validation of instrument
Method of data collection
Method of data analysis
CHAPTER FOUR
Discussion of results
CHAPTER FIVE
Summary and conclusions
Recommendation
BIBLIOGRAPHY
QUESTIONNAIRE
CHAPTER ONE
1.1 INTRODUCTION
InInsurance in its modern form was first introduced into Nigeria by the British. Long before the British arrived, there was a lot of organized trading going on in Nigeria territory, but there was no organized insurance business, as we know it today. Royal Exchange Assurance was the first insurance company to open a full-service branch office in Nigeria. It opened its first office in Lagos in 1921 and dominated the country’s insurance business until 1949.
One of the company’s objectives is to encourage trading houses, cooperatives and corporations to enter ventures by insuring them against potential losses. It also promotes a spirit of savings through life insurance that provides survivor benefits in the event of an untimely death for the insured. The board of directors is headed by an experienced man and many businessmen and is chaired by the chairman. As mentioned above, the management of the company is fully Nigerianized (i.e. Nigerian). The Chief Executive Officer is the General Manager who reports directly to the Board of Directors. He oversees the company’s day-to-day operations and is supported by experienced and qualified managers responsible for finance, administration, living, pension and technical departments. However, this was due to the government’s strict economic measures and the country’s poor economic situation. According to the Insurance Act 1976, insurance in Nigeria is divided into two main classes. So life insurance and non-life insurance.
Under the 1976 law, insurance in Nigeria is divided into two main classes. So life insurance and non-life insurance.
Life insurance
whole life insurance
offer
parenting and protection
mortgage protection
Securing conditions
Corporate protection for companies
Non-life insurance
car
robbery in house
fire
cash transport
Goods in transit
Knead
All risks/contractors
royalty
accident at work
1.2 Benin City background research and business in Benin City
The origins of insurance companies in Edo can be traced back to 1968 when the first branch of insurance company UNIC opened in Benin City. This realization caused a boom in the insurance industry. During this insurance boom, UNIC Insurance Company Limited was established in Benin City. One of UNIC Insurance Company’s main goals is to increase investment and raise public awareness of the benefits of insurance to society as a whole. In his first two years of existence, UNIC Insurance Company suffered net losses of N10,000 and his N54,000 respectively. Of course, these were the inaugural years. However, from 1989 to 1991 there was a series of significant profit losses. However, this is attributed to the government’s strict economic measures and the country’s poor economic situation. However, his UNIC, an insurance company, offers all kinds of insurance. One of the downsides of the UNIC insurance company is that the low public awareness of the principles of insurance does not help, and even among Nigerians who are aware of the benefits of insurance coverage, the Nigerian insurance company suffers from a lack of claims experience. There is a widespread perception of reluctance to adjust.
1.3 Problem Description
Nigeria’s insurance society is said to be underdeveloped compared to developed countries. For a while. Nigerian insurance companies have come under harsh criticism from business and trade educators and even insurance experts alike, so many allegations have been leveled against them. The most common criticism of this kind concerns the settlement of claims. As many people have said, both insurance company customers and non-insurance customers were dissatisfied with the handling of claims. When it is their turn to pay the claim, they make flimsy excuses.
1.4 Purpose of the survey
The basic and primary purpose of this study is to critically examine and judge the impact of insurance companies in the business world. The broader objectives of this study can be summarized as follows.
The potential impact of insurance company restrictions on stimulating business activity among citizens.
The extent to which fear of risk has disappeared from the minds of investors in the economy. Determine the economic conditions and atmosphere created by the insurer’s contribution to the commercial economy.
Potential impact of insurers on domestic investments.
Degree of acceleration of business activity by insurers.
Finally, how have insurance companies contributed to the economic development of the business world?
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