The Director-General of the NIA, Mrs. Bola Odukale, raised the alarm while presenting a paper on “The Role of Insurance Industry in Supporting Nigeria’s Aspiration of a $1 Trillion Economy” at the 2026 Annual Conference of the Finance and Business Online Publishers Association (FiBOP) held at Orchids Hotel, Lekki, Lagos.
Speaking on the low penetration of insurance and public perception of the industry, Odukale said the narrative is changing as operators are working assiduously to rebuild trust.
She disclosed that less than 30 per cent of vehicles on Nigerian roads have genuine insurance cover, with only about three million genuine motor policies for over 12 million vehicles. Many motorists, she said, still parade fake insurance certificates.
She urged the media to join the campaign against insurance fakery to stem the tide.
On public distrust arising from delays in claims settlement, Odukale said the industry has improved tremendously, with companies now paying claims faster than before.
She attributed the improvement to the ongoing recapitalisation of the industry, which has empowered companies with bigger capital and capacity to settle claims promptly and support businesses.
“Insurance does not just pay claims; it guarantees that the factories, farms, trucks, shops and lives that will build Nigeria’s $1 trillion economy do not collapse when risk happens,” she said.
According to her, the insurance industry contributes significantly to the nation’s Gross Domestic Product (GDP) and has a critical role in achieving the $1 trillion economy target.
Odukale noted that insurance supports business growth and expansion, adding that without insurance, big-ticket investments would not be possible as banks require insurance cover before financing major projects.
She said insurance helps businesses and individuals recover from losses and urged the media to promote financial inclusion by telling the positive stories of claims payment and advocating for active citizenship.