CAN BANKS OFFER INSURANCE PRODUCT IN NIGERIA

The business of insurance in Nigeria is governed by the insurance act of 2003 and regulated by the National Insurance Commission (NAICOM) which was established pursuant to the National Insurance Commission Act 1997.

The license for commercial banks is issued by the Central Bank Of Nigeria in accordance to Banks and Other Financial Institution Act 2020.
The license states that banks should offer services which includes accepting of deposits, giving loans, facilitating foreign exchange and facilitating international transactions etc.


Every bank is expected to deposit a reserve with the central bank, this sum covers only activities stated in their license which includes accepting deposits and offeting loans.

SO WHY DO BANKS ENGAGE IN INSURANCE

Banks do this to obtain a higher cash balance and also to have the ability to offer more loans. Banks are engaged in the business of liquid cash and the higher the cash they have, the more likely they are able to meetup their financial obligations.




Email: felixaiico@consultant.com

AUTO INSURANCE

This is designed to protect you from loss or damage your vehicle, damage to third party property including bodily injury and death to third party caused by an accident whilst using the vehicle insured.

Auto Insurance covers all types of automobiles for both private and commercial uses. Also covered are motorcycles. The insurance is mandatory for anyone using a motor vehicle.

Comprehensive Auto Insurance offers fully, cost effective, motor vehicle insurance that covers all risks related to owning and driving a vehicle. This policy is customized and structured to suit your needs. The Comprehensive Auto Insurance plan covers the loss or damage to insured vehicles as a result of fire, theft, vandalism, accidental damage or collision.


BENEFITS

1. It covers cost of repair of your damaged car
2. Covers litigation cost arising from third party property damage or bodily injury
3. Peace of mind > You can drive your vehicle without worries of accidental damage to your car or a liability to third party


WHY YOU SHOULD HAVE AN AUTO INSURANCE

The risk involved in driving a car and the potential cost of repair is too high to be left to chance. Getting a comprehensive auto insurance be it a company or personal vehicle is guaranteed to put your mind at rest as you engage in your daily activities with the vehicle.

HOW EXPENSIVE IS A COMPREHENSIVE AUTO INSURANCE

Auto insurance are calculated as a percentage of the cost of the car. The percentage is usually 2% - 4% of the cost of the car being insurered depending on the condition and this will cover your car from all risk including Accidents, thieft, fire, third party and lots more.




Contact
Email: felixaiico@consultant.com

Investment vs. Business

An investment is an asset or item that is purchased with the hope that it will generate a fixed income or appreciate in value at some point in the future. An Investment always concerns the outlay of some asset today (time, money, effort, etc.) in hopes of a greater payoff in the future than what was originally put in.

A business is an activity which could give either profit or loss.


The main difference between investment and business is that in investment you're guaranteed a fixed return on whatever sum you've invested. Investment has a fixed return called Return on Investment (ROI) while in business you either make profit or loss.




felixAIICO@consultant.com