Basically, the part of insurance that people usually misconstrued is life assurance. Unfortunately, this is the arm of insurance that has free investible funds for decades that could be used for infrastructural development which the government and people of the country crave for. The wrong belief is that with the name life assurance, it means one will not die. This is not so. In fact, life assurance recognizes that death is compulsory and it therefore comes to neutralize the negative effect that death will have on those living as insurance is for life and living.
The other major negative idea people hold is that life insurance benefits accrues after one’s death and therefore will not get the benefits of its money. This clearly shows that life insurance is misunderstood. Agreed that one will die, but the consequences of one’s death could be devastating of one’s dependants, families, relations and partners. However, it is that devastation that life assurance comes to neutralizes so that even the death can rest in peace.
However, there are many life assurance products that one will benefit while alive. It all depends on what assurance policy one is taking at a point in time. Such policies include endowment policies, annuities, investment linked policies, pension scheme and others. Most of these policies are policies that one will get the benefits before death.
Endowment insurance policies provide for both savings and for life assurance cover according to Alex Akhigbe and Norman Lawrence. The insured sum under an endowment policy is payable at the end of an agreed number of years. This clearly shows that one does not need to die before getting benefits of life assurance. Nevertheless, if the policy holder dies before the agreed date, the sum insured is payable immediately to the next of kin of the dead policy holder, that is, the deceased.
Annuities cover contract where an individual pays an insurance company to provide an income for the rest of his or her life. It can also be for any other agreed time that is agreed earlier. Other insurances like the investment linked policies where paid premium are used to investment in various outlets; and the pension schemes usually pay benefits to the policy holders while alive. So the case of only after death is benefits is defeated.
Benefits of life assurance are too important to be ignored not only for the individual but also for the nation. It is for this that insurance should not be ignored by the individuals and the government.
Alake advises insurers to maintain balanced lifestyle
The Alake of Egbaland, Oba Adedotun Aremu Gbadebo, has urged insurance brokers to create time regularly to relax and reflect in order to enhance their efficiency and promote their work life balance.
He gave the advice at the 2014 chief executive officers’ retreat of the Nigerian Council of Registered Insurance Brokers in Abeokuta, Ogun State, according to a statement.
He noted that professionals needed to always create ample time to rest and reflect in order to effectively evaluate decisions and actions taken by them with a view to projecting more positively into the future.
The President, NCRIB, Mr. Ayodapo Shoderu, noted that the NCRIB retreat was a yearly forum for interaction among the top executives of insurance brokers in order to enhance their productivity and bolster the value of insurance broking in the industry value chain.
Shoderu disclosed that the council had continued to extend the frontiers of its international relationship with insurance professional bodies all over the world, noting that the initiative had recently earned the council an affiliate status of the British Insurance Brokers Association.
Law Union educates children on Insurance
Law Union and Rock Insurance Plc has moved to increase insurance penetration as the company partnered Inspiration FM to create a bonding session for children and young adults as well as avail them with personal accident insurance covers.
The firm said that it interacted with some children on this issue during an event organised recently to celebrate the Children’s Day in Lagos.
In a statement recently, it said it used the opportunity to create more brand awareness for insurance and sold its personal accident cover for children between the ages of two and 25 years.
The Toyin Ogunseye led company said it had innovative products for diverse people in the society including children.
AIO Selects Sovereign Trust Insurance into Africa’s Oil Pool Management
The African Insurance Organization (AIO) has appointed the leading oil and gas underwriting firm in Nigeria, Sovereign Trust Insurance Plc, into the nine-member committee to steer the affairs of the Oil & Energy Pool in Africa.
This was announced at the 51st Management Board and 27th yearly general assembly of African underwriters in Oil and Energy Insurance at the conference held in Kigali the capital of Rwanda.
Consequently, Sovereign Trust Insurance Plc alongside two other insurance companies in Nigeria and some other African insurance companies, namely, Misr Insurance Company from Egypt; Chanas Assurances S.A, Cameroun; Compagnie Centrale De Reassurance Algeria; Zeb Re, Kenya; Tunis Re, Tunisia; and Cica Re, Togo will administer the Oil and Energy Pool from 2014-2016.
The Managing Director/Chief Executive Officer of Sovereign Trust Insurance Plc, Mr. Wale Onaolapo, said that this appointment is in recognition of the company’s expertise over the years in underwriting of oil and gas risks which further reaffirms the company’s overwhelming capacity in this very critical sector of the country’s economy and the African continent at large.
He further said that the underwriting firm will not relent in providing world-class insurance services in the oil and energy sector of the economy and other allied areas to further consolidate its leadership position in that regard.
In the same vein, the General Manager and Head, Technical Division of the company, Mr. Olaotan Soyinka, stated that the company over the years has created an enviable niche for the company in the Oil & Energy sector and the Insurance market as a whole by continuously building capacity and expertise on a continuous basis in that sector.
Hear him: “it is a familiar terrain to us and we are set to maximize our potentials and assert our leadership position”.
Sovereign Trust Insurance Plc considers the Energy sector very crucial to the economic development of our dear country and will continue to exploit the market to maximise every opportunity embedded therein”, he added.