The Financial Sector Deepening Africa (FSD Africa) funded by UK Aid in collaboration with the National Insurance Commission (NAICOM) has introduced Risk, Resilience and Regulatory Laboratory (R3Lab), an initiative that would improve Africa’s insurance industry.
Speaking at just concluded declaration insurance conference held in Lagos, the Commissioner for Insurance, Sunday Thomas, said R3Lab is set up to explore ways in which collaboration, technology and insurance supervisory capacity building could improve regulatory effectiveness in Africa’s insurance industry.
Thomas maintained that collaboration in technology and insurance supervisory are capable of mitigating the impact of specific challenges experienced in the regulatory environment.
He said the stakeholders are aware of the evolving risks in the African economic space such as climate change, pandemics, digitalization, inadequate understanding and lack of confidence in the insurance industry.
“Also, the need for new strategies to increase the capabilities of African insurance supervisory authorities to effectively regulate and protect insurance policyholders.
“The R3Lab offers a three-tiered approach towards creating an enabling regulatory environment and equipping the regulator with sound, proportionate and fit-for-purpose practices.
“Risk, resilience and regulation are the key entry points for the R3Lab to build the technical capacity and skills of the regulator on innovation and sustainable insurance.”
He said R3Lab will facilitate the design of customised capacity-building programmes and set up peer-to-peer exchange platforms. It will also set up comprehensive learning toolkits, a resource centre for data collection and reporting, topical task forces and forums for insurance supervisors in Africa.
Thomas said that the R3 Lab platform is the third joint initiative that has been birthed through FSD Africa’s partnership with NAICOM.
