Following Nigeria's insurance industry's inability to meet the N1 trillion premium income target in 2012 as projected by NAICOM in 2008, the commission is now looking at 2017 to achieve the target.
Currently, total premium income in the entire industry stands at a paltry N300 billion annually yet, the industry has the capability of generating in excess N1 trillion in premium income annually if properly developed.
NAICOM had introduced the Market Development and Restructuring Initiative (MDRI), a medium-term plan spanning 2009 to 2012, meant to grow the insurance industry's premium income to N1 trillion by the end of this year from N160 billion.
The initiative was also expected to help create about 50,000 fresh jobs through the Agency Network System while raising the contribution of the industry to the nation's Gross Domestic Products (GDP) significantly.
The Commissioner for Insurance, Mr. Fola Daniel, told Bloomberg in Dubai, United Arab Emirates, that NAICOM now considers 2017 as the most possible date to achieve N1 trillion.
He said that Nigeria's insurance value would more than triple in the next four years, based on the improvement in the industry's reputation in recent times.
"We've done a considerable amount of housekeeping to make sure the companies respect the rules," Daniel said.
The value of insurance contracts in the country, according to him, should rise to about N1 trillion ($6.4 billion) in 2017, about three per cent of Gross Domestic Product (GDP), from N300 billion now, or less than one per cent of GDP.
Penetration should increase to 22.50 per cent of the insurable population in four years from 10 per cent currently, Daniel added.