According to National Bureau of Statistics data, the Nigerian insurance industry grew by 8.01 percent in 2021, compared to a negative growth rate of 13.29 percent in 2020.
According to the National Bureau of Statistics’ Gross Domestic Product report for the fourth quarter of 2021, the insurance industry accounted for 7.82 percent of the finance sector.
The underwriting industry experienced negative growth of 2.08 percent in the first quarter of 2021, according to the report.
It did, however, grow by 16.41%, 7.86%, and 13.61% in the second, third, and fourth quarters of 2021.
According to the NBS, “the finance and insurance sector consists of two subsectors, financial institutions and insurance, which accounted for 92.18 percent and 7.82 percent of the sector in real terms in Q4 2021, respectively.” Overall, the sector grew at a rate of 24.92 percent in nominal terms (year on year), with financial institutions growing at a rate of 25.99 percent and insurance growing at a rate of 13.61 percent.
“The overall rate was 26.02 percentage points higher than in Q4 2020, but 1.54 percentage points lower than the previous quarter.” In 2021, quarterly growth was 25.34 percent, with annual growth rate of 11.88 percent.
“The sector’s contribution to overall nominal GDP was 3.10 percent in Q4 2021, up from 2.80 percent the previous year and higher than the 2.70 percent contribution in the previous quarter.”
“In real terms, growth in this sector totaled 24.14 percent, up 27.76 percent points from the rate recorded in the fourth quarter of 2020 and up 0.90 percent points from the rate recorded in the preceding quarter.”
“In real terms, quarter-on-quarter growth was 26.99%, with annual growth of 10.07% in 2021.”
According to the report, finance and insurance contributed 3.66 percent to real GDP, which was 0.59 percent higher than the 3.07 percent recorded in the fourth quarter of 2020 and 0.50 percent higher than the 3.16 percent recorded in the third quarter of 2021.
According to a recent National Insurance Commission report, Nigerian insurance companies will earn N630.36 billion in 2021.
Rassaq Salami, NAICOM’s Head of Corporate Communications and Market Development, revealed this in the company’s unaudited 2021 results.
This was an increase from the audited figure of N514bn premium earned in 2020, according to the commission.
