The National Insurance Commission (NAICOM) expects to deepen insurance penetration in the country within the next 12 weeks, Commissioner for Insurance, Mohammed Kari has said.
Speaking with reporters in Ogun State, he said the Commission intends to achieve this by working in a different way to enforce compulsory insurance products especially the Buildings under Construction Insurance law.
According to him, there are six insurance products made compulsory by law by the Insurance Act 2003 and other sister legislations which the Commission has been working to enforce.
He said: “They are Group life Insurance in line with the PenCom Act 2004, Employers liability in line with the Workmen’s Compensation Act 1987, Buildings under Construction-section 64 of the Insurance Act 2003, Occupiers Liability Insurance –section 65 of the Insurance Act 2003, Motor Third party Insurance –section 68of the Insurance Act 2003, Health Care Professional Indemnity Insurance-under section 45 of the NHIS Act 1999
“NAICOM set up enforcement teams in all the 36 states of the federation to monitor compliance with the compulsory insurances. The teams would comprise of the Police, Vehicle Inspection Office (VIO), Federal Road Safety commission (FRSC), Fire Service, planning authorities, Nigeria Insurers Association (NIA), Nigeria Council of Registered Insurance Brokers (NCRIB) among others.”
He noted that the teams were constituted but the Commission has since been working to keep the law enforcement agencies on board.
He said they have however, identified how to ensure successful enforcement of compulsory insurance products, which will in turn deepen insurance penetration.
To this end, he said the Commission is now working with the Federal and State Government to ensure proper enforcement.
He pointed out that despite the fact that Lagos State had implemented the Buildings under Construction Insurance law, the implementation has been faulty.
“Buildings under Construction is one of the compulsory insurances. The Governor of Ogun State, Ibikunle Amosun agreed with us that it has been an issue in the state but he promised us that they will abide by this law going forward.
“We have a law In Lagos that compels every business to insure. The implementation has also been faulty. The implementation of that is not a NAICOM responsibility like most of the implementation of the sections of the law but we are now working with state and Federal Government to see how we can ensure enforcement of this compulsory insurance policy.
“We are working on how to resolve this issue and very soon there will be a clear difference in enforcement of insurance in Nigeria. I promise you the game will totally change. And as we go from state to state to sensitize governments and to show them how insurance can help their economy, create employment and how we can together with them enforce insurance. I assure you we expect a huge deepening of penetration of insurance within the next 12 weeks,” he said.
Source: The Nation