New Telegraph 
An insurtech company, Cube Cover, says Nigeria’s insurance industry faces a daunting challenge, with only three per cent of its population insured. Its Co-founder, Samuel Ishie, during the company’s brand inauguration on Wednesday in Lagos, said the challenge leaves 218 million Nigerians vulnerable to financial shocks.
According to him, the industry is grappling with low awareness, trust deficit, and entry barriers, including affordability and accessibility.
“Low awareness is a major challenge, people don’t understand the benefits of insurance, and even if they do, they don’t know how to access it. “Many Nigerians cannot afford insurance premiums, and even if they can, they may not have access to insurance products.
“A market survey conducted by Cube Cover found that 86 per cent of respondents preferred an insurance company paying for their bills, while 91 per cent paid out-of-pocket for medical expenses,” Ishie said.
Ishie noted that the survey also highlighted a trust deficit, with many respondents expressing scepticism about the ability of insurance companies to pay claims.
To address these challenges, Deji Macaulay, the Chief Executive Officer of Cube Cover, said the company inaugurated an innovative insurance product designed to bridge the market gap.
According to him, the company’s product is designed to make insurance more flexible, accessible, and affordable for customers. “We are targeting everybody that doesn’t have insurance.
We are providing insurance across the entire spectrum, including SMEs, people in informal jobs, and traders. “We are leveraging technology and partnerships to increase penetration, particularly among low-income earners,” he said.
