The former Managing Director of Hilal Takaful Insurance, Mrs. Thaibat Adeniran, has called on Nigerian insurance companies to collaborate as a consortium to reduce the financial burden of adopting artificial intelligence (AI) and other emerging technologies.
Adeniran made this appeal during a panel session at the 2025 Artificial Intelligence Conference, organised by SuperNews, held under the theme “Power of AI: Enhancing Efficiency and Customer Satisfaction for Better Financial Services Experience.”
She warned against the tendency of insurance companies to operate in isolation or compete in areas where collaboration would yield better industry-wide results.
“If a single insurance company cannot handle it, join as a consortium so that the financial implications on a single company will not be too much,” she said. “Instead of that, some insurance companies will be competing, but we don’t need that right now. What we require is for us to come together, build the industry, and the industry will drive the market.”
Adeniran expressed concern over the low penetration of insurance in Nigeria, where only less than one per cent of the population is insured, compared to developed countries where insurance is often automated and mandatory.
“I’m usually unhappy each time I hear that we have less than one per cent taking up insurance in Nigeria, whereas in the developed world, it is automated. You just must have insurance,” she said. “What stops us from putting customer service under AI?”
Adeniran’s remarks echoed earlier comments by Kunle Ahmed, Chairman of the Nigerian Insurers Association (NIA), who has also advocated for joint industry investment in emerging technologies.
Speaking during the NIA’s recent quarterly media briefing, Ahmed stressed that the cost of innovation can be prohibitive for individual insurers but significantly more manageable if shared collectively.
“When you go it alone as an insurance company, it might be a lot more expensive for you,” Ahmed said. “But if we come together as an industry, it will be cheaper for each company, and the impact will be massive for all of us.”
Ahmed also spoke about the transformative potential of digital tools such as blockchain, big data, and the Internet of Things (IoT) in revolutionising insurance delivery, particularly in claims processing, risk analysis, and customer engagement.
“Our industry, known for its rich history and established practices, must now embrace digital transformation to remain relevant,” he said. “How can we leverage technology to better understand and serve our customers? How can we harness the power of data to drive decision-making? Most importantly, how can we create a seamless digital experience that exceeds customer expectations?”
Both Adeniran and Ahmed agreed that technological innovation, particularly in AI-powered customer service and claims automation, could be key to improving trust and driving uptake in Nigeria’s largely underpenetrated insurance market.
The calls for collaboration come at a time when digital disruption is reshaping financial services globally, and insurance companies in Nigeria are under increasing pressure to modernise and keep up with changing consumer expectations.
Industry observers note that without significant investment in tech-driven infrastructure, many insurers risk falling behind, particularly as more agile insurtech startups begin to emerge.
