10 Solutions to Challenges Facing Insurance Companies in Cameroon. Possible solutions to issues that plague the insurance industry in Cameroon
Insurance policy and insurance companies in Cameroon face enormous problems or challenges.
10 Solutions to Challenges Facing Insurance Companies in Cameroon
This article enumerates ten (10) possible solutions to these issues that plague the insurance industry in Cameroon as follows:
1. Engagement of adequate staff with a professional background to carry out oversight functions
The Cameroon Insurance Industry should ensure that the insurance professionals live up to the bidding of a true professional in word and deed.
To this end, the insurance industry in Cameroon should constantly review and expand its curriculum beyond core insurance courses to build knowledge capacity.
2. Employment of non-insurance skilled professionals without discrimination should be emphasized
Actuarial professional training programs are needed to create awareness of the profession. Funds should also be allocated for the training of employees and/or the Board of Directors.
3. Investment in IT infrastructure
There should be a regulatory guideline on the best IT infrastructure for insurers and reinsurers to adopt for operational and reporting purposes.
4. Risk and capital management
Capital adequacy is a measure of the financial strength of an organization, usually expressed as a ratio of its capital to its assets.
A partnership is another way to improve insurance penetration in Cameroon. Insurance companies must learn to partner with other companies to further their goals.
This means there will be insurance covers on telephone lines, SIM cards, etc. Insurance companies must partner with telecommunication companies, the media, and others to create agency distribution channels to reach customers, audiences, and listeners of such platforms or businesses.
6. Compulsory enforcement
The Cameroonian government has to take the insurance industry seriously. This is because of its untapped potential. To achieve this, the Cameroon government has to enact laws that will make it mandatory for companies with staff strength as low as 3 to have insurance covers.
7. Non-delay in compensation payment
It is disheartening to hear stories that individuals who have their properties and goods insured lose them, and the insurance companies refuse to pay them.
8. Affordable premium
Many Cameroonians often get discouraged when they hear they have to pay a certain amount monthly to maintain an insurance scheme.
9. Massive Public enlightenment
One of the ways to improve insurance penetration in Cameroon is to strengthen the enlightenment of the people on one on one basis.
The common practice of insurance companies sending marketers to patronize their companies' business is not enough.
10. Service quality and responsive claims payment
Today's business demands that management focuses on providing and delivering qualitative and customer-satisfying products and services to confront the competition passed by new entrants.
Hence, any forward-looking operator must adopt a change in attitude regarding prompt and responsive payment claims.
For any organization to remain viable, its management must provide periodic reviews of its objectives, resources, and opportunities.
It must constantly re-examine its influential business and focus, target audience and select customer groups, differential advantages, channels of communication, and messages, against the backdrop of new developments, trends, and market needs.