Insurance is bedrock of industrialisation — Lasaco Assurance MD, Abiodun

Managing Director of Lasaco Assurance Plc, Razzaq Abiodun, speaks with OGHENOVO EGODO-MICHAEL about his career and other issues

Why did you choose to go into insurance, considering it wasn’t a popular career path decades ago?

Three decades ago, insurance was not the preferred destination for most people. People wanted to be bankers, medical practitioners or accountants because the economy was just developing, and businesses were emerging. There was also the indigenisation era when ownership of businesses began shifting from foreign hands to Nigerians. Initially, most insurance arrangements were handled overseas, and only a few insurance companies operated in Nigeria. Some of them were even branches of international firms.

But as business ownership began to localise, people started having more faith in insurance. Personally, I had a role model. While in secondary school, during one of those long holidays when parents didn’t want their children staying idle, I went to work for an in-law who was a managing director at an insurance company. It was meant to be a holiday job, just to keep me busy, but I fell in love with what I saw. From that point, I never looked back.

He was an inspiring person with a good heart who loved giving back. Working in an industry that also gives back to people suited my personality perfectly. I don’t like seeing people in bad moods. I love supporting others, and insurance allows me to help people turn their sad faces into smiling ones. Doing that through my institution gives me deep satisfaction. That passion shaped my career choice and cemented my belief in insurance. There has been no going back since then

How did you rise to become the Managing Director of one of Nigeria’s leading insurance companies?

I have been around for quite some time. I didn’t start my career at Lasaco. I was an Assistant General Manager at Intercontinental Wapic Insurance. When the company decided to establish a branch in Ghana, I was sent there as Head of Claims and Reinsurance. But beyond my technical role, I was also involved in marketing, so I developed versatility in both areas.

I later became the pioneer Managing Director of our Ghana operations, and that international exposure was invaluable. I was there from 2009 to 2015. After returning to Nigeria, I worked briefly again with Wapic, then for six months with an insurance broking firm before joining Lasaco in 2017 as Executive Director, Technical.

I have been with Lasaco for over nine years now. I rose from Executive Director, Technical, to Deputy Managing Director, and then took over as Managing Director in 2021. It has been a dynamic experience because Lasaco is a unique brand.

When I assumed leadership, the company’s premium income was about N13bn. Today, we are talking about between N28bn and N30bn. Our assets have increased tremendously, shareholders’ funds continue to grow, and market penetration keeps expanding. None of this would have been possible without the cooperation of our directors, shareholders, and staff. We see ourselves as one family, united by shared purpose and mutual support.

The company recently presented strong annual results at its Annual General Meeting. What drives this consistent performance?

We owe that success to several stakeholders. First are our customers; their loyalty over the years has been outstanding. Without them, there is nothing we can achieve.

Second are our investors and shareholders who have continued to invest their money, faith, and confidence in the company through its 45 years of existence. And of course, our staff members have been extraordinary—dedicated, resourceful, and fully committed. They handle every transaction as if it were the only one sustaining the company.

At Lasaco, we treat our customers with respect, and that approach has paid off. Another major factor behind our performance is our focus on claims settlement. We’ve made it a lifestyle, not just a duty. We see claims as opportunities to express our values and show people what we can do.

This year alone, we’ve paid over N13bn in claims, both life and non-life. Many of our clients come through referrals from satisfied customers; people we stood by when they needed us the most. When we sell insurance, we partner with our clients to strengthen their risk-management systems. We don’t just appear at renewal time; we stay with them all year round. That commitment has built trust and contributed immensely to our success.

What motivates the company’s culture of giving back?

In the insurance business, the public is an important stakeholder. Since society supports us, we must also give back. As a responsible corporate citizen, we aim to keep the company’s legacy alive in people’s minds; to empathise with them in their times of need, not only when we expect premiums from them.

Our goal is to help people grow their businesses, their personal development, and their confidence. Even if you’re not our customer, we still want to remain in your consciousness because referrals and goodwill sustain our growth. For over 45 years, the company has remained a familiar and trusted name. Ensuring that our CSR stays top-notch is one way we preserve that connection.

The Nigerian insurance sector is currently undergoing recapitalisation under the 2025 Insurance Industry Reform Act. What is Lasaco’s position on this?

There is a Yoruba proverb about a warrior—called a Balogun—who, when asked how he would behave at the war front, said he would kill so many enemies that even the chickens in the palace died just hearing him speak. That’s how confident he was.

In the same way, even before any regulatory requirement for recapitalisation, we had already demonstrated our readiness to remain strong and competitive. In December 2024, we completed a private placement of about N11.2bn; not because the law required it, but because we wanted to stay ahead.

As of the third quarter of 2025, our shareholders’ fund stands at over N21bn. Our recapitalisation plan, already submitted to the National Insurance Commission, confirms our commitment to continue operating as a composite company for both life and non-life insurance. The minimum capital required for that category is N25bn, but our plan goes beyond that; we are targeting about N40bn.

This shows that even without being compelled, we are driven by growth. Our shareholders—both major and minority—believe in our brand, which has stood tall for 45 years. Few companies from that era are still around today.

We are determined to complete the recapitalisation process well before the deadline because it’s in the best interest of our owners, stakeholders, and customers who trust us. We have invested heavily in technology and in our people; and with the new funds, we will further expand and strengthen our position. We will be recapitalised far beyond the regulatory minimum, as we’ve always done.

What assurance can you give customers about your capacity to cover risks?

All over the world, even in developed countries, insurance is the bedrock of industrialisation. In developing economies like Nigeria, anyone who wants to grow sustainably must take insurance seriously as a necessity.

Unforeseen events are inevitable. Traditional support systems can only do so much when disaster strikes. That’s why insurance is indispensable.

We have demonstrated capacity and loyalty in how we treat clients. There’s no reason for any business—large or small—to ignore insurance. You are essentially keeping aside a little money to protect yourself from a potentially catastrophic loss.

We saw this clearly during the #EndSARS protests. Many medium-sized businesses were affected, but those with insurance recovered quickly, while those without struggled. Insurance should therefore be seen as an investment in survival.

In recent times, regulators and operators alike have made claims payment a priority. The whole essence of insurance is the settlement of claims, and for us, that principle is sacred. We don’t rely on heavy advertising; our reputation grows through referrals from satisfied clients.

Insurance is essential. It’s the foundation of resilience, and as stakeholders, we’ve demonstrated its importance to Nigeria’s economic ecosystem. The company has remained an exceptional brand for 45 years. We have been consistent, persistent, and enduring.

What major challenges have you faced working in Nigeria and Ghana?

My first big challenge was moving from Nigeria to start a company in a completely new environment where there were already preconceived notions about Nigerians. The tension between Ghana and Nigeria didn’t start today; it’s longstanding.

Starting a business there was tough. There were cultural barriers and skepticism. But even in our first year of operation, we returned a profit; thanks in part to our alliance with Intercontinental Bank at the time.

The greater challenge was managing people. I went there with Nigerian business instincts, but I soon realised I had to understand and adapt to their culture. My first year was particularly difficult, but patience and tolerance helped me bridge those gaps.

Challenges will always exist. For me, they’re not obstacles but opportunities to excel. I have learnt to turn difficulties into growth experiences, and that mindset has helped us build credibility, both locally and internationally.

You hold an MBA and later went back to school to study Law. What motivated that decision, and how has it shaped your perspective on leadership?

Law and insurance are twin brothers. Law is part of insurance. When I was younger, everyone assumed I would become a lawyer and they called me “Lawyer.” That dream stayed with me.

When I was in Ghana, I didn’t go with my family, and after work each day, I had a lot of free time. One of my mentors advised me not to waste that time and to come back home with something extra. That conversation rekindled my old dream.

I realised that a deeper understanding of law would strengthen my grasp of insurance. So, I enrolled for a law degree and completed it three years later. I haven’t yet attended law school because of my professional commitments, but I can confirm that studying law has enriched my business decisions and leadership style immensely.

What kind of childhood did you have?

I grew up on Lagos Island, precisely in the Campos area. That neighbourhood is known for two things: determination and education. It is one of the cradles of learning in Lagos State particularly the Popo-Aguda area, where many returnees from the slave trade settled.

The community valued education deeply. Many prominent Nigerians came from there, so one was surrounded by role models. Of course, Lagos Island also has its rough side, but I chose the right path.

Growing up, I played football a lot because there was a field right in front of our house. If I wasn’t reading, I was playing football. Maybe if I had pursued it seriously, I’d have been a footballer today, probably richer too! But, I focused on education instead. That environment instilled discipline, ambition, and balance in me.

What kind of relationship do you share with your wife?

I met my wife on Lagos Island. We dated for about 14 years before getting married, and we’ve been married for over 25 years now. It’s been a wonderful journey. The Lagos Island experience teaches one the value of education and discipline, and that reflects in our relationship as well.

Back then, discipline was taken seriously. School principals could come to one’s house to reprimand one for wrongdoing. That strict upbringing shaped who we are today. It instilled discipline, focus, and resilience.

Environmental, Social, and Governance principles are gaining global attention. How is your company responding to that shift?

We don’t operate in isolation from what’s happening globally or within Nigeria. ESG has come to stay, and we’re aligning with it. We’ve started reclassifying our business operations to meet ESG standards.

Many of our transactions are now paperless, and we’re embedding sustainability into our processes. Of course, full ESG compliance has its challenges, especially within the African context, but we’re adopting what’s practical and meaningful within our system.

From our CSR to our governance culture, empathy and responsibility are part of our DNA. Our board and staff are all aligned with this vision. We’re continuously investing in technologies, activities, and business models that promote environmental consciousness, social inclusion, and strong governance.