Abstract
This work examined the contributions of the insurance industry to the gross domestic
product (GDP) in Nigeria. Data for the study were basically through the secondary
process, extracted from journals, newspapers, internet, magazines, textbooks, CBN
statistical Bulletin and Statement of Account etc. The Ordinary Least Square technique
was used to test the validity of the hypotheses stated in the study. The research revealed
that insurance industry through her routine activities has contributed significantly to
economic growth of Nigeria. Through the signs from a priori expectation, it revealed a
positive linear relationship between insurance contributions with gross domestic product
(GDP) in Nigeria. However, the study revealed a negative relationship between total
investments of insurance industry to gross domestic product. This is due the negligence of
investment in the industry. Furthermore, the study exposed that neglect of laws governing
insurance practise in Ni
This work examined the contributions of the insurance industry to the gross domestic
product (GDP) in Nigeria. Data for the study were basically through the secondary
process, extracted from journals, newspapers, internet, magazines, textbooks, CBN
statistical Bulletin and Statement of Account etc. The Ordinary Least Square technique
was used to test the validity of the hypotheses stated in the study. The research revealed
that insurance industry through her routine activities has contributed significantly to
economic growth of Nigeria. Through the signs from a priori expectation, it revealed a
positive linear relationship between insurance contributions with gross domestic product
(GDP) in Nigeria. However, the study revealed a negative relationship between total
investments of insurance industry to gross domestic product. This is due the negligence of
investment in the industry. Furthermore, the study exposed that neglect of laws governing
insurance practise in Nigeria, poor accounting practice, poor claims settlement, failed
public image, negligence of investment, low awareness of insurance etc as the major
problems of the industry. The researcher recommended an increased supervisory role of
NAICOM (National insurance commission), prompt payment of premiums, effective
utilisation of insurance funds, research, improved public awareness through adverts and
campaigns as possible solutions to the challenges facing the industry.