Sunday, October 11, 2020

‘How bancassurance can increase financial inclusion’

By Bankole Orimisan

 Experts in Nigeria’s financial sector have tipped Bank Assurance, an initiative of the Central Bank of Nigeria (CBN) and the National Insurance Commission (NAICOM), as a viable tool for boosting financial inclusion and insurance penetration in the Nigerian market.

According to the experts, banks and insurance firms can leverage the initiative to access the asset and customer base of both industries, to provide banking and insurance services, as customers would be able to access both services from one point.

To drive bancassurance in the financial sector of the economy, Access Bank sealed a pact with Coronation Insurance For Bank Assurance-A Milestone to improve market penetration of the Nigerian Insurance Industry.

As part of efforts to deepen the financial services industry in Nigeria, Access Bank and Coronation Insurance are collaborating to drive an innovative, efficient, and dynamic ‘bancassurance’ system.

Speaking on this development, the Managing Director of Access Bank, Herbert Wigwe, at a webinar that had the theme ‘Managing Risks That Keeps CEOs Up At Night’ described the bank assurance organisation as extremely significant to the ecosystem.

Wigwe said that Coronation Insurance is top within the various categories, with customers having the best claim insurance, hence the Access Bank partnership.

He highlighted the fact that Coronation Insurance is among the three most capitalised insurance organisations in Nigeria, and the institution has thrived over the past decade.

Wigwe emphasised the importance of risk management and governance in the business operations of Insurance companies. According to him, Several insurance companies in the past have been slow to meet the various claims made by their customers.

He believed Coronation Insurance will experience total transformation with the partnership. On his part, Chairman of Coronation Insurance Plc Mutiu Sunmonu, said the ‘bancassurance’ partnership would expand the service delivery with Access Bank.

Speaking on his experience since he joined the board of Insurer, Sunmonu said, the digital maturity of the organisation and the size of investments the organisation has made in scaling its digital maturity over the last decade.

Addressing what the bank assurance partnership would mean to individuals and corporate customers of Access Bank, Sunmonu said he believed the partnership between Access Bank and Coronation Insurance represented a milestone for the Nigerian Insurance Industry through the coming together of both organizations, new standards of quality, and service delivery will be established within the industry,” he said.

Amongst others the partnership will elevate the level at which Insurance and banking are delivered to corporate customers in the country, marking the level of growth recorded in the banking sector over the last two decades.

 

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