Impact of Islamic Belief on the Demand for Life Assurance Policies in Lagos State, Nigeria

Religion has been identified as an important factor that shapes people’s perception about life. Particularly issues relating to safety and security, arising from this, the challenge lies on the insurance practitioners in Nigeria to explore the opportunities provided by the number of Muslims in the country, who have not bought insurance, because of its considered conflict with their faith .Hence this study which discusses how Islamic belief has affected the demand for life assurance and how policies whose operability will be on a mutual and co-operative basis devoid of the competition of private enterprise can be promoted. In doing this questionnaire was administered to some Islamic mission in Lagos State South West Nigeria and spearman’s rho correlation was used to test the hypothesis. It was found out that the respondents agreed that providing for the future and one’s dependant is good but the current way that conventional insurance is practiced is a factor contributing to why they do not consider buy insurance. rather they have explored other ways to meet their future and dependant’s need. The findings showed that Islamic believes does affect the demand for life insurance products; however the effect is relatively low or decreasing.