Compulsory Insurance: Brokers Urge Buhari To Sanction Defaulters

As the National Insurance Commission (NAICOM) has been striving to ensure compliance with six compulsory insurance products in Nigeria, the President of Nigerian Council of Registered Insurance Brokers (NCRIB), Ayodapo Shoderu, has appealed to President Muhammadu Buhari to put structures in place to make sure that those who fail to comply with the laws on compulsory insurance are sanctioned.

One of the components of the Market Development and Restructuring Initiative (MDRI) introduced by NAICOM in 2010 is to enforce six compulsory insurance products. The six products are Motor Third Party Insurance; Employers Liability Insurance; Insurance of Public Buildings; Medical and Health Care Professional Indemnity Insurance; Insurance of Buildings Under construction and Group life Insurance.

Shoderu, who made this call during the Members’ Evening of the NCRIB in Lagos recently, said the insurance industry need government support and backing to enforce the compulsory insurance covers.

The NCRIB boss said: “There are six compulsory insurance policies that have been highlighted by our regulator; we need government support and backing to enforce them. It is of common knowledge that incumbent administration will not tolerate corruption of any sort, I like to say that avoidance of compulsory insurances is high level of corruption, therefore, it must be included in the ongoing fight against corruption.”

Speaking on the recent helicopter crash in Lagos which claimed four lives while other passengers on board sustained injury of different magnitude, he urged the leadership of Nigerian Civil Aviation Authority (NCAA), to ensure that no airline operator is allowed to operate without adequate insurance cover.

He stated that adequate insurance will guarantee that in case of any unfortunate incident, the bereaved families will have something to fall back on.

Shoderu also informed that the insurance brokers have taken their awareness campaign to the Airline Operators of Nigeria (AON), and held meeting with the representative of the association.

He added that a further meeting is to be rescheduled for a later date, not only with AON, but also other professional bodies in the aviation industry, to ensure that the mechanism of risk taking provided by law is strictly adhered, to avoid double tragedy for the families of victims.

Shoderu further called on the government to also throw its weight behind the entrenchment of insurance policies not only in aviation industry, but all other sectors.

Source: DailyIndependent