Abstract:

The study was undertaken to establish the impact of insurance receivables on economic growth using life premium, non-life premium and insurance investment as the proxy for insurance receivables. The insurance industry is one which has strived in the face of economic crisis and is still striving to grow, with so many claims to settle, the insurance industry tends to invest their premium from life and non-life insurance policies so to offset claims, gain income and also contribute to the economy. This study hence conducted a research to know the extent to which these premiums and investment have impacted on the Nigerian economic growth. The study used the panel data between the periods of 2008-2017 among six insurance companies. The panel OLS was used to analyse the data and the hausman test was used to adopt the random effect result used to interpret the data. The result of the study showed that the life premium was positively insignificant to economic growth; the non-life premium was negatively insignificant to economic growth while the insurance investment was positively insignificant. This insinuates that the insurance industry has very little impact on the Nigerian economic growth. Further studies should be carried out by increasing the number of years for the data, the number of insurance companies and more variables can be added.