Insurance Market, Companies, Intermediaries and Their Roles for SS 3

Class: SS 3
Term: First Term
Week: 4
Age: 16 years
Duration: 45 minutes
Subject: Insurance
Topic: Insurance Market
Subject Matter: Meaning of insurance market; Insurance companies and examples; Insurance intermediaries: brokers, agents and loss adjusters; Roles of insurance intermediaries; Why policyholders should deal with registered intermediaries
Previous Lesson: Benefits of Life Assurance to Society and Government

Specific Objectives

By the end of the lesson, pupils/students should be able to:

Cognitive Domain

• Define the term “insurance market”.
• Identify various insurance companies.
• State the different types of insurance intermediaries.
• Explain the roles of insurance intermediaries.
• Discuss why policyholders should engage with registered intermediaries.

Affective Domain

• Appreciate the importance of intermediaries in the insurance industry.
• Recognise the need for dealing with registered professionals.

Psychomotor Domain

• List examples of insurance companies.
• Differentiate between brokers, agents, and loss adjusters.

Reference Materials

The following resources were used in planning this lesson:

• 2025 Revised 9 Years Basic Education Curriculum
• Relevant State Unified Scheme of Work
• A suitable Insurance textbook for SS 3
• The HeadTeacher Scheme of work

Instructional Materials

The teacher will teach this lesson with the aid of:

• Whiteboard and markers/chalk
• Insurance textbook
• Costume tags (e.g., “Broker”, “Agent”, “Loss Adjuster”) for students

Rationale for the Lesson

This lesson provides students with a foundational understanding of the insurance market and the key players within it. It helps them appreciate the functions of insurance companies and intermediaries, which is crucial for making informed decisions about insurance policies and claims in real-life situations.

Prerequisite/Previous Knowledge

Students have a basic understanding of what insurance is and its general importance in managing risks.

Lesson Content/Board Summary

Insurance Market

Meaning of Insurance Market

The insurance market refers to the global or local environment where insurance products and services are bought and sold. It consists of various participants including policyholders, insurance companies (insurers), and intermediaries like brokers and agents, all working together to manage and transfer risks.

Insurance Companies and Examples

Insurance companies (insurers or underwriters) are financial institutions that provide insurance policies to individuals and organisations. They collect premiums from policyholders and pay out claims when insured events occur. They bear the risk and provide financial protection.

Examples of insurance companies in Nigeria include:

1. AIICO Insurance Plc
2. Leadway Assurance Company Ltd
3. Custodian and Allied Insurance Plc
4. Cornerstone Insurance Plc
5. AXA Mansard Insurance Plc

Insurance Intermediaries

Insurance intermediaries are professionals or organisations that act as a link between policyholders and insurance companies. They help clients find suitable insurance products and assist with various aspects of the insurance process.

Insurance Brokers

An insurance broker is an independent professional who represents the policyholder. They search the market to find the best insurance policies and terms that suit their client’s needs, offering advice and assistance throughout the process, including claims.

Insurance Agents

An insurance agent represents one or more specific insurance companies. They sell insurance policies on behalf of the company they work for and are typically paid commissions on the policies they sell. Agents act as a direct contact point between the insurer and the policyholder.

Loss Adjusters

A loss adjuster is an independent expert appointed by an insurance company to investigate and assess the extent of damage or loss in a claim. Their role is to determine the cause of the loss, verify the details, and recommend a fair settlement amount based on the policy terms.

Roles of Insurance Intermediaries

The roles of insurance intermediaries include:

1. Advising Policyholders: They provide expert advice on suitable insurance products and coverage options.
2. Market Research: Brokers, in particular, research the market to find the best deals and policies for clients.
3. Policy Arrangement: They help in arranging and negotiating insurance policies on behalf of clients.
4. Claims Assistance: They assist policyholders in filing claims and liaise with insurers to ensure fair and prompt settlement.
5. Risk Management Advice: They offer guidance on how to manage and mitigate risks.
6. Educating Clients: They educate policyholders about insurance terms, conditions, and benefits.

Why Policyholders Should Deal with Registered Intermediaries

Dealing with registered intermediaries is important for several reasons:

1. Professional Expertise: Registered intermediaries possess the necessary knowledge and experience to offer sound advice.
2. Consumer Protection: They are regulated by relevant authorities (e.g., NAICOM in Nigeria), providing a layer of protection for policyholders against malpractice.
3. Accountability: Registered intermediaries are accountable for their actions and can be held responsible for negligence or misconduct.
4. Access to Multiple Insurers: Brokers, especially, can provide access to a wide range of insurers, ensuring policyholders get competitive quotes.
5. Dispute Resolution: In case of disputes, regulatory bodies can intervene when dealing with registered professionals.
6. Authenticity: It ensures that the insurance policies purchased are genuine and valid.

Teaching Methods/Instructional Techniques

Discussion, Explanation, Question and Answer, Role-play, Guided Practice

Instructional Procedures

Step 1: Introduction

Time: 5 minutes

Teaching Skill: Recalling Previous Knowledge

Teacher’s Activity: The teacher greets the students and asks them to briefly recap what they understand by “insurance” from their previous lessons. The teacher then introduces the topic: “Insurance Market, Companies, Intermediaries and Their Roles.”

Pupils’ Activity: Students respond to the teacher’s questions and listen attentively to the introduction of the new topic.

Learning Point: Insurance concept recap

Step 2: Meaning of Insurance Market

Time: 7 minutes

Teaching Skill: Explanation

Teacher’s Activity: The teacher explains the meaning of the insurance market, describing it as the environment where insurance products are traded. The teacher uses simple examples to illustrate how different entities interact within this market.

Pupils’ Activity: Students listen, ask questions for clarification, and participate in the discussion.

Learning Point: Insurance market definition

Step 3: Insurance Companies and Examples

Time: 7 minutes

Teaching Skill: Identification/Listing

Teacher’s Activity: The teacher defines insurance companies and provides several examples of insurance companies operating in Nigeria. The teacher explains their primary role as risk bearers and policy providers.

Pupils’ Activity: Students listen, note down examples, and may volunteer other known insurance companies.

Learning Point: Insurance company examples

Step 4: Insurance Intermediaries

Time: 8 minutes

Teaching Skill: Differentiation/Role-play

Teacher’s Activity: The teacher introduces insurance intermediaries and explains the three main types: brokers, agents, and loss adjusters. The teacher then uses the costume tags to conduct a brief role-play, having students wear tags and briefly explain their roles.

Pupils’ Activity: Students listen, observe the role-play, and participate by wearing the tags and stating the basic function of each intermediary.

Learning Point: Types of intermediaries

Step 5: Roles of Insurance Intermediaries

Time: 7 minutes

Teaching Skill: Elaboration

Teacher’s Activity: The teacher elaborates on the specific roles of each type of intermediary, highlighting how they assist policyholders and contribute to the smooth functioning of the insurance market.

Pupils’ Activity: Students listen, take notes, and contribute to the discussion by asking questions or providing insights.

Learning Point: Intermediaries’ specific roles

Step 6: Why Policyholders Should Deal with Registered Intermediaries

Time: 4 minutes

Teaching Skill: Justification

Teacher’s Activity: The teacher explains the importance of dealing with registered intermediaries, emphasising consumer protection, professionalism, and accountability.

Pupils’ Activity: Students listen and understand the benefits of engaging registered professionals.

Learning Point: Benefits of registered intermediaries

Step 7: Evaluation/Review

Time: 5 minutes

Teaching Skill: Questioning/Assessment

Teacher’s Activity: The teacher evaluates the learning by asking the following questions:

1. What is an insurance market?
2. Mention two examples of insurance companies.
3. Name three types of insurance intermediaries.
4. State two roles of an insurance broker.
5. Why is it important to deal with a registered insurance agent?

Pupils’ Activity: Pupils answer orally and in writing.

Learning Point: Understanding insurance market

Step 8: Note-Taking

Time: 4 minutes

Teaching Skill: Guided Writing

Teacher’s Activity: The teacher guides pupils/students to copy the essential Board Summary notes on the insurance market, companies, and intermediaries into their notebooks.

Pupils’ Activity: Pupils/students copy the notes carefully into their notebooks.

Learning Point: Recording lesson notes

Step 9: Conclusion

Time: 2 minutes

Teaching Skill: Consolidation

Teacher’s Activity: The teacher summarises the key points of the lesson, reinforcing the understanding of the insurance market and the vital roles played by companies and intermediaries. The teacher encourages students to always seek professional advice when dealing with insurance matters.

Pupils’ Activity: Students listen to the summary and ask any final questions.

Learning Point: Lesson summary reinforcement

Continuous Assessment/Further Study

Type: Homework

Instruction: Answer the following questions in your notebook:

1. Differentiate between an insurance broker and an insurance agent.
2. Explain the role of a loss adjuster in the insurance claims process.
3. Research and list three other insurance companies in Nigeria not mentioned in class.

Lesson Keywords

• Insurance market – The environment where insurance products are bought and sold.
• Policyholders – Individuals or entities who own an insurance policy.
• Underwriters – Insurance companies that assume risks and issue policies.
• Brokers – Independent intermediaries who represent policyholders.
• Agents – Intermediaries who represent one or more insurance companies.
• Loss adjusters – Experts who investigate and assess claims for insurers.
• Premium – The amount paid by the policyholder for insurance coverage.
• Claims – A formal request by a policyholder to an insurance company for payment or services.

Differentiation

For struggling learners, the teacher can provide simplified definitions and focus on identifying the main types of intermediaries using visual aids. Faster learners can be challenged to research the regulatory body for insurance in Nigeria (NAICOM) and its functions in protecting policyholders.

Suggested Lesson Videos

For further understanding, students can search for “Understanding the Insurance Market and Intermediaries” on YouTube.

Teacher Guide for Using This Lesson Plan

Teachers should ensure they have a clear understanding of the roles of different insurance intermediaries before the lesson. Prepare the costume tags in advance for an engaging role-play activity. During the lesson, encourage active student participation in discussions and question-and-answer sessions. Pay close attention to students’ understanding of the distinctions between brokers, agents, and loss adjusters, as this is a common area of confusion. Allow students to copy the Board Summary notes after the main teaching points have been covered and evaluated. Provide extra support to students who find it difficult to differentiate between the intermediaries by using more real-life scenarios. Challenge advanced learners to discuss the impact of technology on the insurance market and the roles of intermediaries.