The Tier-base recapitalisation introduced in the nation’s insurance industry, which deadline was brought forward to October 1, 2018, from January 1, 2019, has generated concerns for the Association of Registered Insurance Agents of Nigeria (ARIAN).
The group is therefore, calling on the National Insurance Commission (NAICOM) to extend the deadline and include stakeholders’ input in the new initiative.
The President of ARIAN, Ademola Ifagbayi, who spoke with The Guardian over the weekend on the sidelines of a press briefing organised by the association, in Lagos, said such extension would create more time for underwriters to explore the best option to recapitalise.
Affirming that the association fully supports NAICOM’s move, he believes insurance companies need more time to understand the new recapitalisation model and make a decision on where to play in.
“ARIAN is in total support of NAICOM on the new tier based insurance recapitalisation exercise. However, we will like to appeal to NAICOM to consider the position of Nigerian Insurers Association (NIA), to make the process easy and convenient for all stakeholders,” he said.
Ifagbayi, who is also a General Manager at Mutual Benefits Assurance Plc, said insurance agents are partner in progress and will always support any development aimed at deepening insurance penetration, acceptability, profitability and contributions to the Gross Domestic Product (GDP) of the country.
The General Secretary of the association, Opeyemi Osiyemi, who also commented on the development at the event, said the recapitalisation is a welcome development that will lead to existence of financially strong insurers, able to deploy the strength of insurance agents to penetrate the nooks and crannies of the country.
Source: Guardian News