Insurance professionals have encouraged Lagos State employees to make proper retirement plans in advance to prevent needless financial hardship after leaving a paid job.
At the Retirement Readiness Workshop, which was held in Lagos and was organized by the Nigerian Insurers Association (NIA) in partnership with the Lagos State Ministry of Finance, the insurance industry participants urged the workers to accept annuities as their retirement plans.
A pension-regulated option that provides a source of consistent income during retirement is an annuity plan. A life insurance plan known as an annuity is made to give people a reliable income stream during retirement, providing their financial security and peace of mind.
The plan offers a dependable alternative for retirees looking for financial security in their post-working years with customizable options suited to fit diverse demands.
Niyi Onifade, chief executive officer of Heirs Life Assurance (HLA), said people who don’t save enough money or develop sources of income to support themselves after leaving active service in the public or private sectors face a lot of difficulties in her presentation, “Annuities: What they are, the types, and how they work.”
Having only one source of income, not saving and investing, buying liabilities rather than assets, inflation, a lack of financial education, and abrupt retirement were among the explanations he highlighted for such failure.
The MD stated: “These crises have forced many households to significantly reduce their standard of living after retirement, making them rely on families, friends, charities, and the government for financial support for them to meet their needs.”
Onifade emphasized the advantages of adopting a comprehensive approach to retirement planning that offers financial security throughout life.
Along with explaining the annuity alternatives available to retirees, he emphasized the need of being prepared for retirement.
He stated: “At Heirs Life Assurance, we recognise the need for individuals to secure their financial future and we believe that an annuity plan offers a robust solution that aligns with retirement goals.”
Yetunde Ilori, director general of NIA, who also spoke at the event, emphasized the significance of the retirement readiness workshop, saying it gives prospective retirees a platform to improve their knowledge and better get ready for retirement age.
