Elumelu Recommends N50 Million Capital Base For Insurance Broking Firms

On Thursday, Tony Elumelu, the Chairman, Heirs Holdings recommended a sum of N50 million as a capital base for insurance broking firms operating in Nigeria.

Elumelu, also the founder of Tony Elumelu Foundation, said this at the 60th Anniversary Colloquium of the Nigerian Council of Registered Insurance Brokers (NCRIB) with the theme, “60 Years of Insurance Broking: Redefining the Practice and Practitioners.”

"It has become necessary to recapitalise the insurance brokerage industry in the country as N5 million is not enough capital base.

“I recommend a minimum of N50 million as a capital base; we need to adequately capitalise the brokerage sector.

“The insurance is very important to the economy, so also is the quality of governance, institutions, and practitioners of the sector.

“Insurance is recognised as a technical business that requires special expertise.

“This, therefore, makes it difficult for most people to make the right choice on insurance purchase and also requires professional assistance when claims occur,” he said.