CONTRIBUTIONS OF INSURANCE BUSINESS ON ECONOMIC DEVELOPMENT OF NIGERIA, 1999-2024

This study focused on the contributions of the insurance business to the economic development of Nigeria, 1999-20224. The study adopted gross domestic product (GDP) as a proxy for economic growth and the response variable, while total insurance investment (INV), total insurance premium (PRE), and total insurance claims (CLA) were used as proxies for insurance sector development and the predictive variables. Secondary time series data for the variables were sourced from annual reports of the Central Bank of Nigeria (CBN) Statistical Bulletins and the Nigerian Insurance Digest covering the period 1999 to 2024. The study employed descriptive statistics and the ARDL regression technique based on the E-views 9.0 software as methods of data analysis. The empirical results show that total insurance investment had a significant positive influence on GDP at 5% level, total insurance premium had a non-significant negative effect on GDP at 5% level, and total insurance claims had a significant negative effect on GDP at 5% level. Based on the findings, the study recommended that insurance policies be made mandatory for individuals and business organizations to encourage and protect investors as well as ensure sustained economic growth. This study, therefore, concluded that the achievement of business objectives in an insurance company depends on the extent to which insurance investment, insurance premiums, and insurance claims are made positive in the system