This research work, the researcher examined the role of insurance middlemen in the growth and development of insurance business. The information for the study was collected using primary and secondary methods of data collection. For a primary data collection, while existing literature relevant to the topic was consulted for the secondary data. The research used chi-square statistical model to analyze the data. The researcher found out that Insurance middleman has significant impact in the development of Nigerian insurance industry. Insurance middleman/intermediaries has so many roles to play in Nigerian insurance business. There is significant relationship between insurance middleman/intermediaries and the development of Nigerian economy. Based on the findings the researcher recommends that There should be periodically arranged programmes which will aim at keeping the insurance intermediaries abreast of the development with the industry. Emphasis should be laid on good public relations and most importantly, insurance intermediaries should stick to the principle of utmost good faith" so as to discharge their duties to the public with honesty and integrity thereby improving the bad image of insurance companies and result in more revenue. The intermediaries should try to maintain after sales services. They should know whether their clients are having any problems with their policies or insurance company. They should always be in touch with their policyholders.

TABLE OF CONTENTS

Title page i

Approval Page ii

Dedication iii

Acknowledgement iv

Abstract vi

Table of Content vii

CHAPTER ONE

INTRODUCTION

1.1 Background of the Study 1

1.2 Statement of the Problem 3

1.3 Objective of the Study 4

1.4 Research Question 5

1.5 Research Hypothesis 6

1.6 Significance of the Study 7

1.7 Scope and Limitations of the Study 8

1.8 Definition of the Terms 9

Reference

CHAPTER TWO

REVIEW OF RELATED LITERATURES

2.1 An Overview 10

2.2 Various Types Of Intermediaries 13

2.3 Classification of Agents 15

2.4 Similarities and Differences Between Insurance Brokers and Agents. 18

2.5 Purpose of Intermediaries in the Insurance Market 20

2.6 Duties of the insurance intermediaries 21

2.7 Reflections of the Insurance Act 2003 on Insurance Agents 21

2.8 Functions of the Intermediaries 28

2.9 The Effect of Legislation on the Insurance

Intermediaries 29

2. 10 Importance of Insurance Intermediaries in the Growth of Insurance Business 30

2.11 Some Products Marketed by the Insurance Intermediaries 34

2.12 Problems of Insurance Intermediaries 37

2.13 Prospects of Insurance 39

2.14 Challenges of Insurance Intermediaries 40

References

CHAPTER THREE

RESEARCH METHODOLOGY AND DESIGN

3.1 An Overview 42

3.2 Source of Data 42

3.2.1 Primary data 42

3.2.2 Secondary data 43

3.3 Population of the Study 44

3.4 Sample size and Sampling Techniques 44

3.5 Instrument used in Selecting sample size 46

3.6 Validity and Reliability of the Instrument used. 46

3.7 Method of data Presentation and Analysis 47

CHAPTER FOUR

DATA PRESENTATION ANALYSIS, DISCUSSION OF FINDING

4.1 An overview 48

4.2 Data presentation 49

4.3 Data Analysis 53

4.4 Testing of Hypothesis 58

4.5 Discussion of Findings 70

CHAPTER FIVE

SUMMARY OF FINDINGS CONCLUSION AND RECOMMENDATIONS

5.1 Summary of Findings 73

5.2 Conclusions 74

5.3 Recommendations 75

5.4 Suggestions for Further Studies 77

Bibliography 78

Appendixes 79

Sample questionnaire 80

CHAPTER ONE

INTRODUCTION

1.1 Background Of The Study

Modern insurance was introduced in Nigeria in the early 20^th century by British merchants. The first insurance company Royal Exchange Assurance started as an outpost of its British parent and was upgraded to a branch in 1921. Following the advent of Royal exchange, other companies followed in 1949. Insurance intermediary have started springing lip not as independent firms but as a branch offices of their British parents according to Dickson (1960) opined that insurance is designed to protect the financial wellbeing of an individual company or other entity case of unexpected loss the number of intermediaries at the beginning where quite fair and as a result they scramble for client ,they was as fierce as it is now but that is not to say that the intermediaries of those day did not have their challenges ,they operated in an enviroment where the insurance scence was dominated by foreign based clients whose insurance programmes were controlled from their home offices in addition to this they had to content with an insuring public that lacked awareness of insurance ,the image of insurance and how the insurance market works and this did not make their job easier direct marketing was unheard of and there was no price of war or rate cutting .all these lasted up to the early 1990’s.in insurance market there are facilitators that have different roles to play in providing insurance functions to the insuring public the insurance market itself includes buyers who are the insured, sellers who are the insurers and reinsurers and insurance intermediaries are middlemen who are authorized by a party called “the principal to bring the principal into contractual relationship with another who is a third party .they include insurance brokers insurance agents and reinsurance brokers.

1.2 Statement of Problem

The problems that led to the formation of this research work include the following;

1. Previous studies has shown that insurance middleman do not have significant impact in the development of Nigerian insurance industry.

2. Studies has proven that insurance middleman / intermediaries do not play significant role in Nigerian insurance business.

3. It has been proven that there is no significant relationship between insurance middleman/intermediaries and development of Nigerian economy, due to poor performance of the middleman in the insurance industry.

4. Previous studies has shown that the insurance middleman is faced with so many challenges/difficulties.