Coronation Spearheads Africa’s Shift Toward Smart Insurance Innovation

The Managing Director and Chief Executive Officer of Coronation Insurance Plc, Olamide Olajolo, has emphasized the need for responsible use of artificial intelligence (AI) in transforming Africa’s insurance sector.

Speaking at the Africa Financial Industry Summit 2025 during a roundtable discussion titled “Smart Insurance: Sharpening up Claims, Risk Modelling and Operations with AI and Insurtech,” Olajolo highlighted how disciplined innovation can reshape claims management, risk modelling, and operational efficiency across the continent.

The session, moderated by Mohamed Ali Jebira of Deloitte, featured key industry figures, including Bernard Ohemeng-Baah, Deputy Commissioner of Ghana’s National Insurance Commission. Discussions centered on how AI and insurtech are driving smarter data utilization, automation, and improved customer experiences within the insurance ecosystem.

Olajolo identified claims processing as the area where AI currently has the most measurable impact, noting that automation is reducing claim turnaround times and improving accuracy. “AI delivers the fastest and most visible results in claims,” he said. “From automated image recognition for vehicle damage to predictive fraud detection, AI shortens claim cycles while enhancing fairness. Between 60 and 70 per cent of major global insurers have already integrated AI into claims management.”

He further explained that machine learning is transforming underwriting by enabling real-time risk assessment that combines behavioural, environmental, and financial data. This, he said, promotes fairer pricing and broader inclusion, especially for underserved markets.

However, Olajolo cautioned against rapid AI adoption without strong ethical and regulatory frameworks. He disclosed that Coronation Insurance has, on several occasions, delayed AI rollouts to ensure data protection and compliance. “We’ve had to strengthen data governance and transparency to ensure both customers and regulators can trust how algorithms make decisions,” he stated.

Olajolo also noted that many African insurers remain stuck at the pilot stage because they treat AI as a technology experiment instead of a business transformation tool. “To achieve scalable success, AI initiatives must be linked to clear business outcomes—such as improved underwriting accuracy or reduced fraud—and must be driven by top leadership,” he explained.

On human capital development, he stressed that talent remains a decisive factor in successful AI integration. He advocated a balanced strategy combining collaboration with insurtech firms, selective outsourcing, and building internal capabilities.

“Human capability is the cornerstone of AI adoption,” he said. “The best insurers combine external partnerships for innovation, outsourcing for technical expertise, and in-house development for long-term control of data and customer relationships.”

Olajolo concluded by stressing that responsible AI adoption should be guided by discipline, empathy, and trust—values that align with Coronation’s vision for the future of smart insurance in Africa.

The session was part of AFIS 2025’s broader agenda on digital transformation and innovation as catalysts for Africa’s financial independence and sustainable growth.