The Effect of Income Distribution on Insurance Market in Nigeria

Abstract

The study seeks to determine the effect of the poverty on insurance market in Nigeria. Secondary data were obtained mainly from online sources and were supported with primary data of the author’s personal observations. The study shows that poverty although affects the size of insurance market in Nigeria as poor people are dominantly motivated by basic human needs of food, shelter etc. it is however not the only factor affecting insurance market as evidence from the study reveals further that only few of those who can afford insurance policy are actually buying it. The study recommends that insurance should consolidate on developing micro insurance product, build public confidence and create public awareness of the benefits associated with insurance policy to grow the market.