African Insurance Organizations Ought to Pull Resources Together — Sogelola

At the sidelines of the just concluded African insurance organisation, AIO, conference in Ghana, executive Director of law Union & Rock, Mr. Supo Sogelola, informed vanguard that the African insurance market ought to be united to preserve large dangers. Excerpt.


WHY is the African insurance market fragmented?

There are too many operators operating in Africa. in preference to coming together, in building enterprises which have robust capitals which might be large and able to take risks and pass it on to reinsurers, insurance organizations want to function on stand-alone basis. insurance have to no longer be a business wherein humans do it just because they want to make money. The proprietors of the business no doubt, would declare profit, but, the business isn't primarily for making profit.

it is for making the humans comfortable and offering assurances of alternative when there are losses or when risks occur. countries develop by having sustainable proper insurance businesses. once that is sustained, unethical practices will not come in because people are not operating for themselves. We have to do the proper thing so that going ahead insurance may have the respect it merits.

What can insurance operators in Africa do going forward? 

In Africa we need to look at how we will start to pull our assets collectively. The insurance world is fragmented, brokers world is fragmented. the whole lot is simply in bits and pieces. There may be one agency that has over 100,000 personnel over Africa. In such example, there will be standards of salaries, there may be uniformity and all unethical practices will not come in. The African insurance organisation, AIO, is there to aid us, if the regulators in the continent come together and agree on a way forward, we are able to get there.