The Imperative of Proactive Risk Management for National Development
The Commissioner for Insurance/Chief Executive Officer of the National Insurance Commission, Olusegun Omosehin, has emphasized the critical need for a proactive and data-driven approach to risk management in Nigeria. Speaking at the 40th-anniversary celebration of the Risk Managers Society of Nigeria (RIMSON), Omosehin highlighted the pivotal role of risk management in achieving sustainable development and national resilience. He argued that a robust risk management framework is not merely a reactive measure but a strategic tool that should be embedded in governance, infrastructure planning, enterprise development, and public policy. This proactive approach, he asserted, is crucial for mitigating potential threats and uncertainties that could hinder national progress.
Omosehin’s call for a data-driven approach underscores the importance of leveraging information and analytics in identifying, assessing, and mitigating risks. This data-centric approach enables organizations to make informed decisions, anticipate potential challenges, and develop effective risk mitigation strategies. The Commissioner pointed to the insurance industry’s role in fostering a robust risk management culture in Nigeria. He emphasized that through risk transfer mechanisms, insurance not only provides a financial safety net but also promotes stability, investment, and innovation, contributing significantly to national development.
The Commissioner’s remarks align with global perspectives on the significance of strategic risk management. Research by PwC indicates a strong correlation between embracing strategic risk management and achieving better business outcomes, including enhanced stakeholder confidence and faster revenue growth. Furthermore, the Harvard Business School defines risk management as a systematic process encompassing risk identification, assessment, mitigation, and monitoring, reinforcing the need for a structured and proactive approach.
Omosehin’s address at the RIMSON anniversary celebration served as a clarion call for both public and private institutions to prioritize risk management as a cornerstone of national resilience and progress. He highlighted the detrimental consequences of inadequate risk mitigation, citing examples such as business disruptions and the socio-economic fallout from climate-related disasters, cyber threats, and public health emergencies. He stressed that in today’s interconnected world, the ability to effectively manage risks is paramount for national stability and advancement.
Reinforcing the theme of the anniversary celebration, "Risk Management in Nigeria – Evaluating the Impact and Relevance to National Development," other speakers echoed the Commissioner’s sentiments. Prosper Okpue, the Executive Vice Chairman/Chief Executive Officer of Insurance Brokers of Nigeria Limited, emphasized the ethical responsibilities of risk managers and urged the government to embrace risk management as a crucial element of national strategy. He argued that many national losses could have been averted through a structured risk management framework. The newly elected president of RIMSON, Dr. Abbas Idriss, pledged to build on the legacy of the society’s founders and advance the profession of risk management in Nigeria, calling for collective support to achieve the society’s goals and objectives.
In essence, the 40th-anniversary celebration of RIMSON served as a platform to underscore the vital importance of proactive, data-driven risk management in achieving national development goals. The event brought together key stakeholders to discuss the challenges and opportunities in the field and to chart a course for enhancing risk management practices in Nigeria. The insights shared by the Commissioner, industry leaders, and the new RIMSON president reinforced the message that a robust risk management framework is not merely a best practice but a necessity for navigating the complexities of the modern world and ensuring sustainable national progress.
