Developments in the insurance industry in Nigeria in 1991

Abstract

Nigeria's insurance industry expanded marginally in 1991. While some companies in the industry diversified their activities from wholly life to join life and non-life, the number of companies formerly in the life business remained unchanged. Amidst general price increases, the aggregate industry income rose although expenditures increased faster. The industry continued to show preference for investments in "miscellaneous" activities rather than comply with statutory requirements in the allocation of their resources. The year ended on a promising note with the promulgation of the much awaited Insurance Decree No. 58 in December to replace the 1976 Insurance Decree generally believed to be inadequate and obsolete. The aim of the new decree is to regulate and guide the practice of insurance business in the country.