The National Insurance Commission has highlighted microinsurance and digital platforms as holding the potential to drive the embrace of retirement products, especially in the informal sector.
This was disclosed by the Commissioner for Insurance, Olusegun Omosehin, at the recently held Ispenonline Retirement Summit in Lagos.
Omosehin, who was represented by the Lagos Director of NAICOM, Julius Odidi, spoke on the theme ‘Attaining Good Retirement Amid Economic Headwinds’ and said that retirees nowadays face challenges ranging from inflation to market volatility; hence, it has become important for regulators and stakeholders to take moves to protect their interests.
He said, “The economic headwinds we face today are not insurmountable. But they require coordinated action, strategic foresight, and above all, trust. Trust in our institutions, trust in our systems and trust in our financial instruments. To navigate this period effectively, we must focus on three critical priorities; we must ensure that our policies across the insurance, pension, and financial sectors are not working at cross-purposes. Regulation must be enabling, responsive, and focused on long-term value rather than short-term gains.
“The industry must invest in designing affordable, relevant, and inclusive retirement products, especially for the informal sector, which constitutes a significant portion of our population. Microinsurance and digital platforms hold tremendous potential in this regard. We cannot build a resilient retirement system without informed and empowered citizens. Early education on retirement planning, insurance benefits, and risk management must become a core part of our national strategy.”
Omosehin stressed that more individuals are approaching retirement with concerns about income sustainability, healthcare costs, and the adequacy of their pension savings.
He explained, “These economic headwinds are not merely statistics; they represent the lived experiences of millions of our citizens. As regulators, insurers, pension administrators, and policymakers, we must rise to this challenge with innovation, empathy, and resilience.
“From the insurance sector’s perspective, retirement planning must be rooted in long-term financial protection and risk management. Products such as annuities, life insurance, and retirement savings plans are not just financial instruments; they are vital tools for peace of mind in later life. We must work to ensure these tools are accessible, transparent, and aligned with the evolving needs of our ageing population.”
The CFI maintained that the regulator remained committed to deepening insurance penetration, strengthening consumer confidence, and fostering partnerships across the financial services system.
“We are actively engaging with stakeholders to develop frameworks that enhance the integration of insurance and pension systems, especially in addressing longevity risks and post-retirement income security,” he concluded.
The keynote speaker and founder of Mutual Specialists, Adetola Adegbayi, called on retirees and soon-to-be retirees to seek out personal finance and financial risk management experts, not pseudo gambling promoters.
She said, “Good retirement is a journey built on delayed gratification. Build reserves during active years, invest in the infrastructure of the future and invest in preservation to keep the reserves.”
Adegbayi also called for adherence to the 30-30-30-10 rule, which entails active life living expenses, discretionary spending, savings and debt repayment, while the retirement plan should include bonds, stocks, real estate/property and cash.
She argued that there should be a national wealth management initiative and not just a national budget.
