Mutual Benefits Assurance plc, an ICMIF member based in Nigeria, is investing NGN 3 billion from its insurance fund in a housing development. It will do this through its property subsidiary and it is hoped that by creating this new housing this will provide great value to the Nigerian people. In a recent interview Akin Ogunbiyi, Group Managing Director/CEO of Mutual Benefits Assurance plc stated that “insurance is the backbone of any economy. Insurance is the medium where you can pool funds together for mega investment in other sectors”.
Akin went on to say “we have looked at Mutual Benefits and the level of income we are generating, and we take a bold step to use insurance the way it should be used to develop the economy as a key driver of development. We changed our marketing strategy from concentrating on corporate insurance to retail insurance, to the extent that we are able to come up with products and services that the common man on the street can afford and which also provides basic needs”.
Akin explained that the belief of Mutual Benefits Assurance is that the best way to use premiums paid into their insurance products is to put those funds into other investments that will create further value for the Nigerian people.
This first initiative will be to build 60 terraced houses and is aimed at the middle class population of Nigeria. Further developments will be aimed at meeting the needs of the various classes within the Nigerian population. Another proposed development will be to build around 300 units of three-bedroom apartments in the Berger area of Lagos which will be suitable for another segment of the population.
Mutual Benefits Assurance Plc began their operation in Nigeria in 1995 and they provide various insurance products including life, auto, health, other “special risk” policies and microinsurance as well as investment products and services.