General News
What Insurance Companies Stand to Benefit from Bancassurance
The issue of whether or not bancasurance should be allowed a foothold in the industry has attracted attention in times past, especially soon after the recapitalization exercise. Many operators kicked against it, noting that if the ‘monster’ was allowed to stay, the industry would be swallowed up by banks. This was more so as the latter had made significant in-roads into the hitherto exclusive preserve of the insurers. One of those that opposed the move was the National Council of Registered Insurance Brokers (NCRIB) which expressed fear that the practice would erode public patronage of insurance brokers in preference to banks – owned insurers and brokers. The council had protested vehemently to the Central Bank of Nigeria (CBN) on what it called an unethical practice among banks in the selective ways they engaged brokers. According to the NCRIB, the practice as it then stood, was a deviation of the rules of universal banking as practiced else where. It stated that part of the prescription of universal banking was that no bank should compel its customers to do business through any particular insurance company, including those owned by the banks. Unfortunately, the council stated, this golden rule was being violated. In an interview earlier granted this writer, Biyi Otegbeye, managing director of Regency Assurance plc, allayed the fear of some insurers, especially the stand alone insurers that bancassurance was a good omen after all. He argued that notwithstanding the branch network of banks over insurance firms, the gains of the practice will not have any undue advantage over the insurers. He stated that in doing business, the insuring public would be guided by choice and in the quality service delivery of the operators. After over three years of practice, its gains have been unfolding in fascinating ways. While speaking at a recent forum, Adeyera Adeyemo, managing director of Continental Reinsurance plc, painted a glowing picture on the gains of banc assurance not only to insurance firms but also to banks.
Adeyemo explained that banc assurance was a mutually beneficial practice which should be encouraged to survive, stating that the ability to tap into banks’ huge customer bases stands it out as its major incentive. “The extensive customer base possessed by banks is considered to be ideal for the distribution of mass-market products such as individual life assurance and householders/house owners insurances. On the other hand, insurers can make use of the wide reach of bank customers to categorize potential clients in detail according to their needs and values. With increasing sophistication on bancassurance operations, some insurers can also focus on the high-net-worth segment, which offers greater potential for wealth management business”, he said.
Apart from the ability to tap into new customers groups, another area is escaping from the high cost of captive agents, prompting insurers to look into alternative channels. In some cases, teaming up with a strong bank can help to fund new business development opportunities and boost public confidence in the insurer.
He highlighted some of the benefits to the industry to include tapping into huge customer base of banks, especially as the bank’s client base may well be ‘virgin territory’ for the insurance company and so a new source of business.
Explaining further, he said that bancassurance helps in reducing reliance on traditional agents by making use of the various channels owned by banks. The reinsurance chief added that the practice also bring about shared services and cost with banks, thereby reducing the overhead cost of stand alone operators. He stressed that combining the bancassurer’s business with the other business of the insurer can produce economies of scale in administration costs (including capital expenditure). This in turn allows the insurer to improve profitability and to price future products with narrower margins, which helps to make the insurer’s products more competitive;
Adeyemo further expressed support for the practice along the line of developing new financial products more efficiently in collaboration with their bank partners. The economy of banc assurance operations allows the insurer to offer products which are not feasible through the insurer’s existing channel. For example sales cost incurred under existing channels may force premium rates for a product to be uncompetitive, so the product is not sold whereas the cost via the banc assurance channel may be low enough to make it feasible.
The insurance boss opined that if encouraged by all, the practice would significantly help in establishing market presence rapidly without the need to build up a network of agents. This is in addition to obtaining additional capital from in order to improve their solvency and expand business as well as leveraging on the bank’s brand to expand their market
He added that the concept was of mutually beneficial ways to both banks and insurance companies. He said both bank and insurer has great opportunities to learn and make improvements in their own operations. In the present disposition of global economic meltdown, the Continental Re boss explained that bancassurance was critical to making both banks and insurance firms the added opportunity of getting exposed to each other’s distinctive management styles, objectives and measures. These benefits come when either company can implement changes as a result of the learning process. However, he stated, “in the wake of the global financial crisis, the bancassurance model has been called to question and its continued relevance and benefits being challenged.”
Adeyemo expressed the fact that the model is not entirely without fault. To buttress his point, he stressed that in Europe, there has been some developments which tended to erode public confidence. For instance, he said financial services giant, Fortis and its banking subsidiary ABN Amro recently broke up. Recently also, he added, “German insurance group Allianz sold its interests in Dresdner Bank. Across the channel, UK insurer Standard Life has also announced the sale of its banking arm to Barclays. Although not quite a bloodbath, there has certainly been some bloodletting among European bancassurance practitioners in the wake of the global financial crisis.”
Financial crisis notwithstanding, insurers continue to rely on banks as an important force to distribute their products and grow their business. The reputation of banks and financial institutions has been severely tarnished in the current financial turmoil. With so many casualties in the financial crisis, can banc assurance weather the global financial storm? What can banks and insurance companies do to boost confidence and regain trust from customers at a time when alleged cases of mis-selling of financial products over the bank counters abound?
Adeyemo stressed that in the past few years, “sales of investment-linked products have experienced significant growth, bolstered by stock market growth. But now, the global financial crisis has taken its toll on bancassurance business, particularly on sales of investment-linked products.” He mentioned the case of Hana HSBC Life Insurance Company in Korea is worth mentioning at this point which is a joint venture union between Hana Insurance of the Hana Financial Group (HFG) and HSBC Insurance (Asia-Pacific) Holdings Limited.
Pointing the way forward, he said these examples achieved remarkable progress despite the turbulence that had beset the financial industry over the intervening months. “We have seen premiums grow by 36 percent and policies by 11 percent, beating the market average,” he said. According to sources close to them, he explained, capital had been injected to fuel expansion and described Hana HSBC Life Insurance as a “stable platform whose growth had outperformed the industry.”
The global financial crisis may have done its worst but the reinsurance chief emphasized the fact that there’s light at the end of its dark tunnel. Interestingly despite this crisis insurance companies have continually identified a number of benefits arising from the concept of bancassurance.
Breathe Life Foundation partnered with Teach Nigeria Fellow, Ms Bunmi Rotimi, to deliver a respiratory health awareness session for over 200 senior students of Cleggs Girls High School, Surulere, Lagos.
The session equipped students aged 15–19 years with practical knowledge about the risks associated with smoking, vaping, and shisha, while challenging the misconception that shisha is a safer alternative to cigarettes or other substances.
Through an engaging and interactive discussion, students explored the influence of peer pressure and learned practical strategies for making healthier, more informed lifestyle choices.
They also gained a better understanding of common environmental triggers of asthma and other respiratory conditions, including cigarette smoke, generator fumes, bush burning, mosquito coil smoke, candles, charcoal, and firewood.
The session highlighted an important reality: young people may not always recognise how seemingly routine lifestyle choices and environmental exposures can gradually affect their respiratory health, quality of life, and long-term wellbeing.
For Breathe Life Foundation, this reinforces the importance of shifting the conversation from treatment to prevention through awareness and education. By equipping young people with the knowledge to identify risks and make healthier choices early, the Foundation is helping to build a generation that is more conscious of – and better prepared to protect – its respiratory health.
Breathe Life Foundation is dedicated to advancing respiratory health, an often-neglected public health priority. Healthy lungs are essential to life, yet respiratory diseases remain among the world’s leading causes of death and disability, even though many are preventable and treatable.
Nigeria’s technology retail landscape reached another significant milestone on Monday, August 3, 2026, as global technology giant ASUS, in partnership with Konga, officially commissioned its first flagship experience store in West Africa.
Strategically located at 16 Otigba Street, Computer Village, Ikeja, Lagos; the heartbeat of Nigeria’s technology ecosystem, the state-of-the-art facility represents a major investment in customer experience, product accessibility, and digital innovation.
The launch also reinforces Konga’s growing reputation as a preferred gateway for leading global technology brands into the Nigerian market.
The landmark event attracted Dr Kingsley Tochukwu Udeh, SAN, minister of Innovation, Science and Technology, who officially commissioned the store.
Also in attendance were the Chairman of Zinox Group, Leo Stan Ekeh; Chief Operating Officer of Konga, Dave Omoregie; VP Omni-channel & Commercial Planning, Melvin Onochie; and Head of Marketing and Communications at Konga Group, Victor Oluwaleye.
The ASUS team was led by E.EMEA General Manager, Aaron Tsai, alongside Business Development Manager, Sunnie Chen; Sales Manager, Mohammed Kazim; Gaming Product Manager, Joy Chen; Marketing Manager, Adeola Odeleye; and Sales Specialist, Williams Okenna.
The Honourable Minister described the facility as a defining achievement for Nigeria’s digital economy, noting that it is far more than the opening of a retail outlet.
He called it a strong vote of confidence by a global technology brand in Nigeria’s innovation, science, and technology ecosystem and the immense potential of its market.
He noted that his presence underscored the Federal Government’s commitment to fostering stronger collaboration between the public and private sectors, describing such partnerships as essential to achieving Nigeria’s ambition of building a one-trillion-dollar economy driven by private enterprise and enabled by government.
The Minister paid tribute to Leo Stan Ekeh, describing him as one of the foremost architects of Nigeria’s digital transformation.
He announced that Ekeh had recently agreed to champion the Federal Government’s Youth and Students in Innovation initiative, a flagship programme aimed at equipping young Nigerians with entrepreneurial and technology skills.
According to him, Ekeh’s decades of visionary entrepreneurship have played a pivotal role in shaping the country’s technology ecosystem and attracting prominent technology companies into the Nigerian market.
Using the occasion to address the international business community, the Minister encouraged global investors and brands to look beyond establishing commercial operations in Nigeria and actively partner with the government in driving national development.
He assured investors of the Federal Government’s commitment to creating an enabling environment that safeguards investments and delivers sustainable returns.
Speaking at the event, ASUS E.EMEA General Manager, Aaron Tsai, expressed appreciation to partners, government representatives, and customers for their support.
He explained that the flagship store was conceived to provide consumers with direct access to authentic ASUS products, and expressed confidence that the partnership with Konga will further accelerate the brand’s growth and strengthen customer engagement in the region.
The experience centre features dedicated sections showcasing ASUS’ complete portfolio of premium laptops, gaming devices, AI-powered PCs, and cutting-edge innovations. A standout attraction is an interactive digital display that allows visitors to explore ASUS’ latest technologies virtually before making purchase decisions, creating a more engaging and informed customer journey. Plus, every ASUS device purchased through the flagship store or online on Konga comes with a special one-year replacement warranty at no extra cost.
In his remark, Chief Operating Officer of Konga Group, Dave Omoregie, said the flagship store reflects Konga’s deliberate strategy to give Nigerian consumers a seamless blend of online and offline retail.
He noted that Konga’s logistics network, payment infrastructure, and nationwide retail footprint uniquely position the company to support global brands like ASUS at scale, while ensuring customers enjoy authentic products backed by reliable after-sales service.
According to him, the partnership demonstrates what becomes possible when world-class technology brands trust Nigerian platforms to deliver exceptional experiences, adding that Konga remains committed to setting the operational standard for authentic technology retail across the country.
The launch further reinforces the enduring partnership between ASUS and Konga, built on shared values of innovation, authenticity, and customer satisfaction.
It also highlights Konga’s continued evolution beyond traditional e-commerce into a comprehensive omnichannel technology ecosystem that combines online convenience with physical retail experiences.
For Nigerian consumers and businesses, the new ASUS Flagship Experience Store represents more than a retail outlet; it is a symbol of confidence in Nigeria’s technology market. It highlights Konga’s commitment to bridging the gap between global technology brands and Nigerian consumers. With its robust logistics infrastructure, digital payment solutions, and nationwide physical retail presence, Konga continues to set the standard for authentic, accessible, and reliable technology retail across Africa.
The flagship store opening featured guided product demonstrations, immersive technology experiences, exclusive launch-day offers and customer engagement activities celebrating this historic milestone.
Customers can begin shopping immediately at the ASUS Flagship Experience Store, located at 16 Otigba Street, Computer Village, Ikeja, Lagos. Visitors can explore authentic ASUS products, experience live product demonstrations, receive expert guidance, and access dedicated Starlink customer-support services.
Socio-Economic Rights and Accountability Project (SERAP) has called on President Bola Tinubu to direct, Lateef Fagbemi (SAN), attorney general of the federation and minister of Justice; Olatunji Rilwan Disu, inspector-general of Police, and relevant anti-corruption agencies to investigate allegations that more than ₦6.79 billion in public funds were missing, diverted or misapplied within the Nigeria Police Force and the Federal Ministry of Police Affairs.
The allegations are contained in the Auditor-General of the Federation’s 2022 Annual Report, published on September 9, 2025.
In a letter dated August 1, 2026, and signed by Kolawole Oluwadare, deputy director, SERAP, the organisation urged the government to ensure that anyone implicated in the report is prosecuted and that all missing public funds, firearms and ammunition are recovered.
“Anyone suspected to be responsible—including contractors, companies and public officials implicated in the report—should be promptly prosecuted, while all missing public funds, firearms and ammunition should be fully recovered, secured and properly accounted for.”
SERAP described the Auditor-General’s findings as a serious breach of public trust.
“The Auditor-General’s findings suggest a grave betrayal of the public trust and raise serious concerns about corruption and the management of public funds, police exhibits, firearms and ammunition.”
The organisation also expressed concern over allegations involving missing firearms, unauthorised use and release of police exhibits, and poor storage of weapons.
“The report also raises serious concerns over missing firearms and ammunition, the unauthorised use and release of police exhibits, failures to properly account for exhibits, and the insecure storage of firearms, creating significant risks to public safety and national security.”
According to SERAP, the alleged diversion of funds meant for policing and the reported irregularities have weakened the operational effectiveness of the Nigeria Police Force.
“The diversion of funds meant for policing, abandoned security projects, missing firearms and ammunition, and the misuse of police exhibits undermine the operational effectiveness of the Nigeria Police Force, weaken public confidence and may contribute to Nigeria’s worsening insecurity.”
The organisation said the Auditor-General’s report documented several alleged financial irregularities, including payments for projects that were never executed, abandoned contracts, inflated contract costs, irregular procurement, unretired cash advances, unsettled insurance claims and payments for services allegedly not rendered.
“The report documented numerous alleged financial irregularities within the Nigeria Police Force and the Federal Ministry of Police Affairs, including payments for projects that were never executed, abandoned contracts, inflated contract costs, and irregular procurement.”
“The report also documented unretired cash advances, unsettled insurance claims, payments for services allegedly not rendered, and other suspected diversion and misapplication of public funds amounting to over ₦6.79 billion.”SERAP further cited allegations of missing firearms and ammunition, failures to properly account for recovered weapons and exhibits, and insecure storage of firearms.
“The allegations also include missing firearms and ammunition, the unauthorised use and release of police exhibits, failures to properly account for recovered firearms and other exhibits, and the insecure storage of firearms, posing serious risks to public safety and national security.”
The organisation gave the Federal Government seven days to act on its demands, warning that it would pursue legal action if no response is received.
“We would be grateful if the recommended measures are taken within seven days of the receipt and/or publication of this letter. If we have not heard from you by then, SERAP shall consider appropriate legal action to compel your government to comply with our request in the public interest.”
SERAP also argued that the allegations, if left unaddressed, would violate constitutional provisions requiring the government to combat corruption and safeguard the welfare and security of Nigerians.
Among the specific findings cited from the Auditor-General’s report were allegations of payments for abandoned and unexecuted police projects worth hundreds of millions of naira, inflated contract values, unretired cash advances, irregular procurement processes, unsettled insurance claims exceeding ₦681 million, over ₦1 billion in uncleared insurance policy liabilities, missing firearms and ammunition, unauthorised release of police exhibits, and contracts allegedly awarded without due diligence by the Federal Ministry of Police Affairs.
NBC Files Fresh Appeal against Judgment Barring it from Imposing Fines on Broadcast Stations
Nigerians Lost N25.85Bn to Digital Payment Fraud in 2025 –CBN
NRS Announces 30 Percent Tax on Corporate Crypto Income
Kaspersky Identifies Cyberespionage as a Growing Threat Across Africa, Others
PalmPay’s Transaction Guard Gives Users More Control, As Fraud Tactics Evolve
NRC, Ponzi Scheme Collapses Resulting Loss of Billions of Naira
From Scarcity to Scale: What Africa Can Learn from India’s Agricultural Transformation
EFCC Busts NIS Visa Overstay Racket, Uncovers N700m in an Account
BON Establishes Six Ad Hoc Committees to Modernize Broadcasting
Tokenization, Blockchain Technology will Transform Financial Institutions – IMF
News2 days agoAtte, Nigerian Develops AI Algorithm for Hair Transplants
News2 days agoFG to Abolish Subsidies in Power Sector in 2027 – Minister
E-Financial2 days agoCBN Exposes over 13,000 BVNs Tied to Fraud as Banks Tighten Security
E-Financial2 days agoFCT Court Awards Ex-Customers N15m against Stanbic IBTC over Data Privacy Breach
General News2 days agoDare Tackles Onaiyekan over Criticism of Tinubu, Says Economic is Working
Telecom2 days agoStarbase Technologies Introduces Yolly, a Reward-Based Social Entertainment Platform
General News2 days agoSERAP Asks Tinubu to Probe Alleged N6.79Bn Missing Police Funds, Firearms
Telecom2 days agoAdefolarin Ogunsanya and the Allegations of Shareholder Interference and Self-dealing @Pan African Towers