On the micro level, insurance serves as a solution to social problems. For instance, insurance provides financial compensation to victims of risks such as, transportation risks, industrial injuries, losses arising from the burglary, robbery, fire accidents, old age, illness, death of key employees, firm‟s liability, machinery breakdown, etc, who are participants to policy schemes. Oke (2012) stated that private insurers could give their contribution in solving the problem of social security system. They provide protection from the financial consequence of illness and injury, unemployment and retirement. Thus insurance products such as life, health and payment protection policies, can substitute for government social security programmes which are malfunctioning in Nigeria. In Nigeria, unlike the developed countries where citizens are protected to a certain extent, by social security programmes of the government, social security traditionally, is the responsibility of the community‟s organized age groups and the family. However, with the growth of middle class brought about by the rate of industrialization and urbanization, the social values is continually changing, therefore there is a weakening of the family bondage, which makes it necessary for every economic man to seek protection for his/her valuable possessions through accredited institutions like insurance, rather than the society. Nduna (2013) observed that urbanization that is taking place in Africa will create a large pool of middle class consumers who would require insurance cover.