The industry has over time battled with low yield and high expenses ratio, which could be tackled with, improved service quality, a rise in technical reserves, and higher investment yields.
But on the flip side, the high contingency liabilities and low policy reserve, coupled with regulatory actions, further threaten growth in the industry.
Consequently, rust deficit, low penetration, low investment yield, and high loss ratio constitute the weaknesses faced by many insurance firms.
As the year 2021 unfolds its potentials gradually, there are high expectations as to what the New Year beholds.
It is expected that 2021 would encompass a better experience for the insurance industry, according to industry analysts.