The Nigerian Journal of Risk and Insurance

NJRI Issue 16 No 1 - Editorial Board and Content

2026-06-18T21:51:00+00:00

Editorial Borad and Content

Enterprise Risk Management Capability, Regulatory and Insurance Market Resilience in Nigeria: An Empirical Analysis under NIIRA 2025

2026-06-13T20:52:08+00:00

This study examines the relationship between enterprise risk management (ERM) capability, regulatory transformation, and insurance market resilience within the context of the Nigerian Insurance Industry Reform Act (NIIRA) 2025. It also developed a conceptual framework illustrating the mediating roles of governance maturity and capital adequacy culture in the relationship between enterprise risk management capability and insurance market resilience within the NIIRA 2025 regulatory context. The study develops and empirically tests a structural model in which governance maturity and capital adequacy culture mediate the relationship between ERM capability and resilience outcomes. Using 20 years of data from 12 composite Nigerian insurance firms, the study employs Partial Least Squares Structural Equation Modelling (PLS-SEM). The results show that ERM capability significantly enhances governance maturity and a culture of capital adequacy, thereby driving insurance market resilience. However, the direct effect of ERM on resilience is not statistically significant, indicating full mediation. The findings highlight that regulatory effectiveness depends on organisational capability rather than compliance alone. The study contributes to the literature by providing empirical evidence from an emerging market and offering policy insights to strengthen risk-based supervision in Nigeria.

Participatory Factors Influencing Preference for Islamic Insurance (Takaful) among Muslims in Lagos State, Nigeria

2026-06-16T12:25:04+00:00

Islamic insurance, commonly known as Takaful, has been promoted as a Shariah-compliant alternative to conventional insurance. This study examines how participatory factors and perceived market barriers shape preference for Takaful among selected Muslims in Lagos State, Nigeria. Anchored on the Theory of Planned Behaviour and Consumer Behaviour Theory, the study adopted a cross-sectional survey design. Data were collected through a structured questionnaire administered to adult Muslim respondents with varying levels of awareness and exposure to insurance services. Of the 251 questionnaires distributed, 187 valid responses were analysed using descriptive statistics, Friedman rank tests and simple linear regression. The results show that belief in and awareness of Islamic doctrine ranked highest among the determinants of preference, followed by income level and government regulation. Poor awareness, inadequate guidelines and limited accessibility ranked as the most severe participatory barriers. Regression results further indicate that participatory factors have a positive and statistically significant influence on preference for Islamic insurance (β = .518, t = 8.234, p < .001), explaining 27.6% of the variance in Takaful preference. The study contributes to Islamic insurance scholarship by clarifying the hierarchy of religious, economic and institutional factors shaping preference in a Nigerian urban context. It recommends sustained public education, stronger regulatory communication, product simplification and trust-building strategies by Takaful operators.

Effects of Product and Process Innovation on the Performance of SMEs in Lagos State, Nigeria

2026-06-18T21:36:38+00:00

The Small and Medium Enterprises (SMEs) sector is a key driver of economic development, poverty reduction, and employment generation. Yet only 1 in every 10 SMEs survives beyond its first year, underscoring the significant challenges these enterprises face. While innovation is widely recognised as critical to SMEs performance, existing studies have largely examined product and process innovation in isolation, with limited attention paid to their interaction effect, particularly within the context of Nigerian SMEs. This study addresses that gap by examining how product innovation, process innovation, and their interaction influence SMEs performance in Lagos State, Nigeria. A survey research design was employed to collect data from management employees of SMEs across six industries food, water, furniture, clothing, bags, and shoes spanning the 20 local government areas of Lagos State. Data from 276 respondents were analysed using reliability analysis, factor analysis, bivariate correlation, and multiple regression analysis. Results from the three hypotheses tested showed that product innovation, process innovation, and their interaction each had a significant positive effect on SMEs performance. The study contributes theoretically by clarifying the interrelationship between product and process innovation in shaping firm performance, extending current understanding of the innovation-performance nexus in SMEs. Practically, the findings suggest that SMEs managers should prioritise integrating both product and process innovation to drive sustainable, long-term business success.

Aquaculture Risk Financing Strategies and Food Safety among Selected Fish Farmes in Lagos Metropolis: A Simple Linear Regression Analysis

2026-07-01T21:55:51+00:00

This study examines the effect of aquaculture risk financing strategies on food safety among fish farmers in Lagos Metropolis, Nigeria, amid growing concerns over production risks, limited financial resilience, and compliance with food safety standards. A descriptive survey research design was adopted, and data were obtained from 141 fish farmers using a structured questionnaire. The data were analysed using simple linear regression at a 0.05 level of significance. Findings reveal a statistically significant positive relationship between aquaculture risk financing strategies and food safety (R = 0.362; R² = 0.131; F = 20.938; p < 0.001), indicating that improved financing mechanisms enhance food safety outcomes. However, the moderate explanatory power suggests that additional institutional and operational factors also play important roles. The study concludes that risk financing is a significant but partial determinant of food safety. It recommends improved access to credit, expanded insurance coverage, strengthened cooperative financing, and targeted capacity-building to enhance resilience and compliance.