By David Akinmola
Despite growing awareness and increased regulatory oversight, trust remains a critical challenge in Nigeria’s insurance sector. Many Nigerians still view insurers with skepticism, citing slow claims processing, opaque policy terms, and poor customer engagement.
Industry experts and consumer advocates believe the sector must undergo meaningful reforms to rebuild public confidence.
1. Simplify the Claims Process
Delayed claims settlements and excessive documentation are among the top complaints from policyholders. According to recent surveys, over 60% of customers find the claims process stressful or unclear. Experts say adopting automated claims platforms, reducing paperwork, and setting clear timelines can significantly improve trust.
“Insurance is built on a promise — if that promise feels like a struggle to redeem, trust breaks,” said Ifeoma Umeh, founder of the advocacy group Insured Voices Nigeria.
2. Increase Transparency
Many customers sign up for policies without fully understanding what is covered and what is excluded. Insurance companies are being urged to use plain language, digital explainer videos, and interactive tools to make policy terms clearer.
3. Strengthen Customer Communication
Insurers are often criticized for poor post-sale engagement. Customers say they only hear from their providers when premiums are due. By offering regular policy updates, educational content, and two-way communication channels, insurers can show customers they are more than just premium collectors.
4. Improve Digital Access and Support
With the rise of fintech and digital banking in Nigeria, insurers have an opportunity to meet customers where they are — on their phones. Mobile-first platforms for policy management, digital claims submission, and live chat support can modernize the customer experience and improve satisfaction.
5. Deliver on Promises
Ultimately, nothing builds trust like action. When customers receive prompt and fair settlements, they not only stay — they refer others. “Reputation is the most powerful currency in the insurance business,” says Tunde Abiola, CEO of Zenith Shield Insurance.
Regulatory Backing
The National Insurance Commission (NAICOM) has introduced new guidelines to ensure faster claim resolutions and has warned insurers against unfair practices. But experts argue that enforcement must be consistent and visible.
Conclusion
As competition grows and more Nigerians seek financial protection, the insurers who prioritize customer experience, transparency, and trust will lead the sector’s next phase of growth.
