This article covers the two insurance companies that I use, so I can boldly tell you their rates and premiums for annum. The truth is that some of these insurance companies in Nigeria do not make their Rates and premiums public. You can hardly find it on their websites. So if you need their services, kindly go to their physical office or use the service of a broker to get the insurer of your choice.
What is Insurance Rates ?
Insurance Rate is calculated as (a unit cost of insurance policy, multiplied by an exposure) which will give you the premium of the policy. To make it more clear, Insurance Rate is the amount of money that will cover losses, expenses and profits to insurance companies on a single exposure. For example, in Life Insurance, the rate may be expressed as N5 for every property worth N1000 you exposed.
Difference between Insurance Rate and Premium
One often get confused between insurance Rates and premium. Take note, these two terms are not the same. The rate of an insurance policy is what determines it premium. Before insurance companies will put a price tag(premium) on a particular policy, they would have calculated the risk involved in such policy, how much will cover the risk, and how much profit they will make after expenses. These three factors are what determines the rate of an insurance policy.
Of course if you want to venture into any business or reach any agreement with anyone, you would want to know the price associated to that contract agreement. You may want to know what you stand to gain or lose at the end of the contract.
Same applies here in Nigeria, you may be wondering how much Life Insurance cost or you may want to know the rate plan of Life Insurance in Nigeria? This article have got you covered, if you have these questions on your mind..
Insurance Rates of some Insurance companies in Nigeria.
- AXA Mansard Insurance
AXA Mansard Insurance pls offers people up to Hundred Thousand Naira (N100,000) on their Instant Life Insurance package at just N1,000 Premium per annum. This simply mean that if you pay N1,000 as your premium every year, you will be entitled to a hundred thousand naira (N100,000) worth of Life insurance coverage. If you are a low income earner, I think you should consider getting this plan.
- Cornerstone Life Insurance
Cornerstone Insurance offers life cover of up to N1 Million. Their single insurance premium payments ranges from one thousand naira (N1000) to ten thousand naira (N10,000) per annum
The Rate of life insurance coverage in Nigeria is usually not the same, it varies depending on the type of policy you signed up for and the risk attached to such policy.
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