DEPARTMENT OF ACTUARIAL SCIENCE AND INSURANCE

This study examined the effect of stock market performance on insurance sector development in Nigeria over the period 1990 to 2024. The study was motivated by the need to understand how key indicators of stock market performance influence the growth
and stability of the insurance industry, which plays a vital role in financial intermediation and economic development. The specific objectives were to investigate the relationship between market capitalization, all share index, total value of transactions, and market turnover on insurance sector development measured by the insurance penetration rate. An ex-post facto research design was adopted, and the analysis was based on secondary data obtained from the Central Bank of Nigeria Statistical Bulletin, the Nigerian Exchange Limited Factbook, and the National Insurance Commission annual reports. The study employed the Dynamic Ordinary Least Squares (DOLS) estimation technique after confirming the stationarity and cointegration properties of the data using the Augmented Dickey-Fuller and Johansen tests. The empirical results revealed that market capitalization, all share index, total value of transactions, and market turnover each exert a positive and statistically significant impact on insurance sector development in Nigeria. The R-squared value of 0.873 indicates that approximately 87 percent of the variation in insurance sector development can be explained by changes in stock market performance indicators. These findings suggest that improvements in stock market performance enhance the capacity of insurance firms to mobilize funds, expand operations, and contribute to economic growth. The study concludes that a well-functioning and vibrant stock market is essential for the sustainable development of the insurance sector in Nigeria. It therefore recommends strengthening capital market reforms, promoting insurance investment in equities, enhancing regulatory coordination, improving financial literacy, and encouraging technological innovation to deepen the linkage between the stock market and the insurance industry.

This study examines the impact of insurance risk management on gross fixed capital formation in Nigeria. The research objectives are to evaluate the impact of life, motor, fire, and accident insurance claims on gross fixed capital formation in Nigeria, determine the factors that influence insurance risk management, and investigate the relationship between insurance risk management and gross fixed capital formation in Nigeria. The study employs an ex-post facto research design, targeting all registered insurance companies in Nigeria and using secondary data collected over a period of 23 years. The findings suggest that motor and fire insurance claims have a significant impact on gross fixed capital formation in Nigeria, while life and accident insurance claims do not have a significant impact. It was recommended, among others, that the Nigerian government should invest in creating an environment that encourages proper risk management practices within the insurance industry. This could include incentivizing companies to conduct risk assessments, develop risk management strategies and invest in risk management technologies.

This study examined the effect of corporate governance mechanisms on the performance of listed insurance firms in Nigeria over the period 2015 to 2024. The main objective was to investigate how board independence, board diversity, board size, and CEO duality influence firm performance measured by return on assets. The study adopted an ex-post facto research design and relied on secondary data obtained from the published annual reports of ten purposively selected insurance companies listed on the Nigerian Exchange Group. The population comprised twenty-eight listed insurance firms as of December 2024. The study employed panel data analysis using both the Fixed Effects and Random Effects models. The Hausman specification test was conducted to determine the most appropriate model for estimation, and the test result favoured the Fixed Effects model. Descriptive statistics and correlation analysis were used to summarise the data and examine the relationships among the variables, while regression analysis was applied to test the study hypotheses. The findings revealed that board independence, board diversity, and board size each have a positive and statistically significant effect on firm performance, whereas CEO duality has a negative and significant effect. The results imply that firms with more independent and diverse boards and optimal board sizes perform better financially, while those combining the roles of CEO and board chair tend to underperform. The model explained approximately 61.1 percent of the variation in firm performance, indicating a strong explanatory power. The study concludes that effective corporate governance mechanisms are crucial for improving profitability and ensuring the long-term sustainability of insurance firms in Nigeria. It recommends that companies should strengthen board independence, promote gender diversity, maintain optimal board sizes, and separate leadership roles in order to enhance accountability, transparency, and performance. The study contributes to existing literature by providing empirical evidence from the Nigerian insurance industry and by demonstrating the applicability of panel data techniques in assessing governance–performance relationships in emerging markets.

he research looks at how Nigerian life insurance policies are affected by the credit risk modeling approach. From 1995 to 2023, time series quarterly data were obtained from the World Bank Financial Development Database and the CBN statistics bulletin. The multiple regression methods known as Ordinary Least Square (OLS) and General Least Square (GLS) were used. Among other things, the results show that Nigeria's renew life policy is significantly impacted by the human development index. In Nigeria, government spending on health has a big impact on the renew life policy. Nigeria's renew life policy is significantly impacted by life expectancy. Nigeria's renew life policy is not significantly impacted by the rate of inflation. Nigeria's renew life policy is not significantly impacted by the exchange rate. The research comes to the conclusion that life expectancy, government health spending, and the human development index are important factors that influence Nigeria's renew life strategy

This study investigates the impact of business behavior on the purchase of insurance policies among businesses in Nigeria, with a focus on small and medium-sized enterprises (SMEs) and corporate organizations. Specifically, the study examines the effects of risk perception, trust in insurance companies, cost considerations, and awareness and education on insurance adoption. A descriptive survey research design was employed, and data were collected from 200 respondents using structured questionnaires. Descriptive statistics were used to summarize respondents’ demographic characteristics and perceptions, while inferential analysis, specifically multiple linear regression, was employed to test the hypothesized relationships. The results indicate that risk perception, trust in insurance companies, cost considerations, and awareness and education significantly influence the adoption of insurance policies among businesses. Risk perception and awareness were identified as strong positive predictors of insurance purchase, while high cost was a limiting factor. The study concludes that behavioral factors play a pivotal role in shaping businesses’ insurance decisions and recommends strategies for insurance providers and policymakers to enhance trust, improve awareness, and make insurance more accessible and affordable. The findings provide valuable insights for enhancing insurance penetration, promoting risk management, and supporting the sustainability of businesses in Nigeria

This study examines the effect of Management Information Systems (MIS) on the financial performance of insurance companies in Nigeria. The study specifically investigates how MIS investment, digital claims processing systems, automation of underwriting processes and net premium income generated through MIS influence the performance of listed insurance firms. An ex-post facto research design was adopted, using secondary data extracted from the annual reports of ten insurance companies listed on the Nigerian Exchange Group (NGX) covering the period 2012-2024. The descriptive analysis revealed notable variations in ROA and net premium income across firms, while MIS-related variables showed moderate stability. The correlation and panel regression results indicate that MIS investment, digital claims processing systems, underwriting automation and net premium income have positive effects on the financial performance of insurance companies, with some variables showing statistically significant influence. The findings suggest that effective deployment of MIS enhances operational efficiency, strengthens decision- making, improves claims management and supports revenue growth. The study concludes that MIS is a strategic tool for improving financial performance in the Nigerian insurance industry. It recommends that insurance companies increase investment in modern MIS infrastructure, expand digital claims processing and strengthen automation of underwriting processes to remain competitive and improve profitability. Additionally, regulators such as NAICOM should encourage greater digital adoption to enhance transparency and industry efficiency

This study investigates the role of blockchain technology in claims management and fraud prevention within Nigeria’s insurance sector. The study adopts a secondary data approach, relying on published reports, regulatory documents, and academic literature covering the period 2015–2024. Data were analyzed using descriptive and inferential techniques to evaluate trends in adoption, fraud prevention, claims efficiency, and operational challenges. The findings reveal that blockchain adoption in Nigeria’s insurance sector remains relatively low, with less than 30% of firms integrating blockchain or smart contracts as of 2024. Nevertheless, adoption has increased gradually, particularly following the introduction of the National Blockchain Policy (2023). Results further show that blockchain has enhanced transparency and reduced fraudulent claims by providing immutable records and enabling interfirm data sharing. Claims efficiency has also improved significantly, with blockchain-enabled firms reducing average processing times from 90–120 days to 30–45 days. Despite these benefits, adoption is constrained by infrastructural deficits, high costs, shortage of expertise, data privacy concerns, and regulatory uncertainty. The study concludes that blockchain technology offers significant opportunities to strengthen Nigeria’s insurance sector through fraud reduction, efficiency gains, and improved trust. However, realizing its full potential requires supportive regulation, investment in digital infrastructure, cost-sharing adoption models, and capacity building in technical expertise. The study is limited by its reliance on secondary data, which restricts the depth of empirical validation. Future research should integrate primary data collection and comparative studies across African markets to expand understanding of blockchain adoption in insurance