The Impact of Insurance in Improving the Safety of Construction Workers in the Nigerian Construction Industry. A Case Study of Anambra State Nigeria

Abstract

The study assesses the role of insurance in ensuring of workers safety in the Nigerian construction industry using Anambra State Nigeria. As a case study. The study adopted survey research approach as its research design. The study was effected through literature review and a well-structured questionnaire. The study was conducted in Anambra State, Nigeria for a period of 6 months. Being a survey research, questionnaire containing information relating to insurance were randomly administered to selected construction professionals (Architects, Builders, Quantity Surveyors and Structural Engineers), insurance companies and contractors in Anambra State, Nigeria. 289 questionnaires were sampled using purposive sampling and simple random sampling technique. Out of these 289 questionnaires that were sampled, only 255 were returned and found useful for the study. The data were analyzed using SPSS version 22 and mean score index and ranked appropriately. The study found out that the awareness of the requirements of the provisions in accordance with section 64 of the National Insurance Act of 2003, which stipulates that buildings of more than two floors are supposed to be insured is still not up to average in the study area, improving of safety through creation of awareness is the leading impact of insurance in the construction industry. Other roles construction insurance plays is that it provides the benefits of protection against diseases and hospital expenses and spreading of risk placing wash stations or hand sanitizers in multiple locations at construction sites. The study further revealed that nonchalant attitude of construction firms towards insurance policies was found to be the leading problems facing construction insurance in Nigeria. This nonchalant attitude is as a result of lack of enforcement of provisions of the insurance Act. The study concluded by recommending that the use of construction insurance should be escalated as a necessary tool in cushioning the effects of accidents in building sites and should be made to be a necessary part of securing approval for buildings above two floors in the Nigerian construction industry.