Determinants of Insurance Penetration in West African Countries: A Panel Auto Regressive Distributed Lag Approach

This study analyses the long- and short-term dynamics of determinants insurance penetration for period 1999Q1 to 2019Q4 in 15 West African countries. The panel auto regressive distributed lag model was used on quarterly data gathered. A cointegrating short-run momentous connection discovered between along with independent variables, which were education, productivity, dependency, inflation income. error correction term’s significance negative sign demonstrate that all variables are heading towards long-run equilibrium at a moderate speed 56.4%. further affirms income determine Africa long run. In addition, causality revealed pairs regressors could jointly cause penetration. findings this recommend economy-wide policies by government regulators markets these economies should be informed significant factors. restructuring education sector ensure finance-related modules cut across every faculty higher is also recommended. Furthermore, Bancassurance recommended boost easy using relationship banking as pathway.