Evaluation of ICT Penetration in Selected Insurance Companies: The Lagos Experience
Abstract
This paper takes a critical look at the level of information and communication technology (ICT) penetration in the Nigerian Insurance Industry. The effect of adoption and use of ICT on the insurance industry is measured by means of survey questionnaires designed to elicit information from respondent who are mainly insurance personnel. Two sets of questionnaires were administered, one for junior and middle level employees and the other for senior cadre managers (IT managers inclusive), directors and executives. Both questionnaires were sectionalized. The questionnaire for junior personnel had three sections. Section one contained questions to elicit demographic and institutional information about respondents. Section two was aimed at finding out how respondents processed information prior to the adoption of ICTs by their organization, while section three was geared towards finding out post-adoption information behaviour of respondents. The questionnaire for insurance executives and top mangers, and IT managers had four sections. The first section was aimed at finding out demographic and institutional information about respondents. The second section was designed to elicit information on the extent of ICT adoption by their organization. The third section was geared at eliciting information on the effects of adoption and use of ICTs on the organization. The fourth section was for IT managers only, this section sought to elicit information on their perspective of organization ICT usage. Results show that most insurance companies in Nigeria are yet to fully aligned ICTs with business and organizational goals. Although most have adopted ICTs for business, however its role in insurance is yet to be fully understood. Thirteen (13) insurance companies and two (2) insurance brokerage firms were surveyed, to make a total of fifteen (15). For most insurance executives and managers ICTs are very important and highly regarded in the organizational value chain. The study also indicates directions for future research, including the identification of the best possible means of aligning ICTs with organizational goals.
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