The founder and Group Managing Director of Mutual Benefits Assurance, Dr. Akin Ogunbiyi has identified financial technology as a major tool that can be used to drive the growth of insurance sector in Nigeria.
He said that the core technology in insurance sector will create more benefits for the industry and will allow many Nigerians to have access to insurance products and services.
Speaker at the recent second National Fintech Conference, Ogunbiyi said that the insurance industry would benefit immensely from the use of technology and that insurance can ride on technology to create innovative products to boost the market.
According to Ogunbiyi less than 0.3% of Nigerian population has one form of insurance product.
“The challenge of not having insurance is not poverty. It’s not because the people don’t need insurance. It is not about the perception of insurance. What I see as the challenge by my understanding as a practitioner is non-accessibility to insurance products and services, people need it, but they don’t have access to it,” he narrated.
He opined that if the insurance industry develops innovative products and services, technology would be used to mass distribute such services and products.
Ogunbiyi said further that technology must be deployed to improve the sector in order to serve insurance consumers because the consumers are involving daily.
“People are now highly informed and highly mobilized. If they know that they can access insurance products and services on their phones, they will be encouraged to buy insurance policy on their phones when it has elapsed, they will be encouraged to also renew it right on their phones because the applications are there already.”
He pointed out that the industry stakeholders would want a condition where technology companies would market their products and service on behalf of the insurance companies through the creation of virtual agents that would remove the bottlenecks associated with brick and mortar office.