NIA claims no fraud exists in the Insurance industry

The Chairman, Nigerian Insurers Association, Mr. Eddie Efekoha, has explained the association’s stand on the developments in the House of Representatives with respect to the ongoing investigation of some member-companies that insured government assets.

During a press briefing in Lagos, Efekoha, who observed that there were allegations of N200bn fraud of various figures and other disclosures given by the chairman of the ad-hoc committee, said there was no fraud in the insurance sector

He said, “The position of the association is that there is no N200bn fraud anywhere. The committee may not have been properly briefed about insurance operations and its workings.”

Efekoha said that the association would have waited for the committee to conclude its investigation before making its comments but stressed that “to date, so much damage has and is still being done to the image of the industry by some of the statements credited to the chairman of the committee which in their material facts are inconsistent with known insurance market practice.”

He also said the association was ready to engage with the leadership of the committee with a view to shedding light on the operation of insurance business.

Efekoha also said the regulation of the insurance sector would be enhanced if the National Insurance Commission move its inspectorate department office to Lagos.

He said the presence of the commission’s regulatory office in Lagos would reduce the stress faced by the insurance operators in getting easy access to NAICOM.

“It makes sense for the inspectorate office to be moved to Lagos because most of the insurance firms are here and they will not have to be spending a lot of time to travel to Abuja, but will have more time to attend to other meetings in their companies,” he said.

 

Source: Punch