The Nigerian Insurers Association, NIA, is putting strong structures in place to tap into opportunities that the Consolidated Insurance Bill, is providing to the industry.
Chairman of NIA, Mr. Olusegun Omosehin, informed the media on Thursday in Lagos that the process for reviewing the Insurance Act 2003 has been ongoing since year 2020 when the Consolidated Insurance Bill was proposed.
Since then, Omosehin, said the Association has been following through with all the processes adding that now that the Bill has been passed it is going through the remaining legislative procedures preparatory to the Presidential accent.
While expressing hope for speedy conclusion of the process the industry is poised to tap into the opportunities provided by the new law.
The Chairman also said the Association is fully in support of the hike in premium rates for motor insurance.
He said that according to the circular released by the National Insurance Commission, NAICOM, comprehensive motor insurance policy premium rate shall not be less than 5 per cent of the sum insured after all rebates/ discounts.
“The Association is in full support of the new premium rates released by NAICOM and has indeed taken steps to ensure that members comply and join in the publicity initiatives that will follow shortly. The Association is embarking on stakeholder engagement as a first layer interface with the critical stakeholders to ensure their buy in and support.
“We do not need to restate the issues with enforcement of the old rates, but we are confident that with your usual support and the understanding of the Nigerian public, Nigerians will support the new rates and this will not only lead to increase in premium income for underwriters but also increase in claims payment to the clients.
It is important at this juncture to point out that Ecowas Risk (risk arising from travelers from West African countries) other is covered under the new premium rates.” he explained.
He said the Association is engaging with the regulator on grey areas with regard to the circular prescribing tenure limit for Chief Executive Officers of insurance and reinsurance institutions.
He also informed that the Nigerian insurance market will host the next WAICA Educational Conference in May and participants from other West African Countries would be in attendance.