General insurance How much can establish an insurance company?

[sincerem]

I don't own one, nor have insurance covers. I'm simply new to the world of insurance, seeking for more advice and knowledge about how much it can cost to operate a profitable insurance company.

I understand money is needed handsomely to develop an insurance company in order to attract customers patronizing it, to make its own profit and stay long in the insurance industry.

When it comes to the capital requirements, it concerns the amount needed to build the insurance company from the scratch, and the starting amount to pay employees and staffs in order to build the company's productivity high.

I don't have knowledge about how much it will cost to set up mini insurance company. Do you have ideas?

 

[btaliat]

To be honest, I don't know how much it will cost be it is very sure that it will cost much to establish an insurance company. The money for building, the staff and even to register with the appropriate bodies. Then the cost of equipment that will be needed in the company.

 

[Mandy96]

Insurance business is one that gives opportunity to meet so many type of people both the rich and the poor, for the sake of the wealthy ones, an office building sounds compulsory for it to look formal and serious, some capital is needed for the pay of the employees that will be needed because surely you can’t do everything yourself

 

[btaliat]

Most insurance companies are always established as a result of partnership. This is because it is very difficult for only one person to establish and build an insurance company. Most time, the insurance needs to have branches to cover the needs from people. These are the factors that make it expensive to operate.

 

[sincerem]

Insurance business is one that gives opportunity to meet so many type of people both the rich and the poor, for the sake of the wealthy ones, an office building sounds compulsory for it to look formal and serious, some capital is needed for the pay of the employees that will be needed because surely you can’t do everything yourself

Sure, one can't do everything for him or herself when it comes to running an insurance company. The staffs and other employees do help out, keeping them happy means placing them on a salary routine on order to keep them working tremendous for the development not our insurance business long time.

 

[Jamoflondon]

Although I am not very much into insurance but For a starter I think a sum of ten million naira should begin the business because a consultation place or an office will be needed to make it more formal, some official cars will be needed and some workers will also be included

 

[Wisdom01]

It depends on the capacity you want to build and layout the insurance company , because there are both small and large insurance company and also you would pay some amount for registering the company , tax and others , it would cost a huge amount of money to launch ,

 

[btaliat]

Just like the commentator above me said, the capacity and the size of the building the intending insurance company wants to have will determine how much they will spend. Others things to be considered will be registering with the appropriate government bodies and obtaining license from government before they kick start.