The Minister of Finance, Mrs Kemi Adeosun, on Monday said that only three million out of 180 million Nigerians possessed insurance policies to protect themselves from uncertainties.
The minister who was represented by Alhaji Mammud Dutse, Permanent Secretary in the Ministry of Finance at the ongoing 2017 National Insurance Conference (NIC) in Abuja.
Adeosun stated that insurance was facilitating investments by reducing the amount of capital and savings needed by individuals, corporations and agencies to fight unforeseen losses.
She said that total insurance premiums grew from N75 billion in 2005 to over N300 billion in 2016 and contributed approximately 0.7 per cent to the Gross Domestic Product.
The minister however lamented the insurance industry was facing the challenge of low-level penetration.
She emphasized that to achieve a larger growth level the insurance sector must be deployed to rural areas.
She said that practitioners must be willing to do more to make insurance a giant industry to look up to, adding that distribution channels must be innovative and that new products should be developed to attract the populace.