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  • NAICOM sets strict rules for new minimum capital requirement in insurance industry

    NAICOM sets strict rules for new minimum capital requirement in insurance industry

    The National Insurance Commission (NAICOM) has issued fresh directives for the implementation of the new Minimum Capital Requirement (MCR) for insurers and reinsurers in Nigeria, making clear that certain categories of assets will not count towards meeting the capital threshold.

    According to a circular titled Implementation of the New Minimum Capital Requirement (MCR), released on Friday in Abuja, encumbered assets, assets without perfected title or ownership, and those not in the full possession of an insurer or reinsurer will be inadmissible for capital compliance purposes. 

    In addition, assets that exceed prudential thresholds or fail to meet prescribed criteria will also be excluded.

    “All assets for the purpose of the new MCR shall be subject to verification by the Commission or its appointed agents,” the circular stated. 

    NAICOM further noted that where additional verification beyond the normal process is required due to the nature or circumstances of an asset, the cost of such special verification will be borne by the concerned insurer or reinsurer.

    Upon successful fulfilment of the MCR, payment of requisite fees, and confirmation by NAICOM, qualifying insurance and reinsurance companies will be issued new operating licences. 

    On the other hand, companies that fail to meet the requirements within the stipulated timeframe face liquidation, merger, or other regulatory measures deemed necessary by the Commission.

    The regulator also disclosed plans to engage with other relevant government agencies, including the Securities and Exchange Commission (SEC), Corporate Affairs Commission (CAC), and the Nigerian Registrar of Ships (NRS), to seek possible incentives and concessions that could ease compliance and reduce associated costs for operators.

    Read Also: NAICOM, NIA laud Tinubu on insurance law

    NAICOM assured industry players and stakeholders that the implementation process, including verification and confirmation of compliance, will be conducted in a transparent and fair manner aimed at strengthening the financial soundness of the sector, boosting public trust, and ensuring that the Nigerian Insurance Industry Reform Act (NIIRA) 2025 delivers tangible benefits to the public.

    To oversee the exercise, NAICOM has set up an in-house committee tasked with coordinating, guiding, monitoring, and ensuring effective execution of the recapitalisation process. 

    All insurance and reinsurance firms have been directed to begin internal preparations immediately, develop their recapitalisation plans, engage proactively, and take steps to meet the new requirements within the prescribed 12-month compliance period.

    The recapitalisation exercise follows President Bola Ahmed Tinubu’s assent to the NIIRA 2025 on July 31, 2025, which officially brought the new capital regime into effect. Under the Act, life insurance companies are now required to hold a minimum capital of N10 billion, non-life companies N15 billion, composite insurers N25 billion, and reinsurance firms N35 billion. The law also introduces a shift towards a Risk-Based Capital (RBC) framework to align with global best practices.

    In line with the Act, insurers and reinsurers must fully comply with the new MCR and any applicable RBC provisions by July 30, 2026. NAICOM indicated that over the coming months, it will issue further guidelines and circulars specifying the composition of the MCR, acceptable forms of capital, capital verification procedures, qualifying assets and their criteria, as well as a standardised template for calculating the MCR.

    The Commission reiterated its commitment to ensuring that the recapitalisation process strengthens the stability of the industry, improves its resilience to shocks, and positions it to play a more active role in Nigeria’s economic development.

  • NAICOM issues guidelines for Insurtech operations in Nigeria

    NAICOM issues guidelines for Insurtech operations in Nigeria

    The National Insurance Commission (NAICOM) has released guidelines for Insurtech businesses.

    The guidelines, which took effect from August 1, are designed to provide a regulatory framework for the licensing, operations, and supervision of Insurtech firms.

    In a statement, the Commissioner for Insurance, Olusegun Omosehin, said insurance institutions and Insurtech firms classified as Insurtech must comply with the guidelines within 30 days of their take off.

    The guidelines aim to foster innovation that can lead to the development of new and innovative insurance products and services and ensure consumer protection and improve consumer experience, prioritising consumer interests and providing better services.

    He said: “The guideline also provides clarity on regulatory requirements, reducing uncertainty and ambiguity; Help build trust and confidence in the Insurtech sector, driving growth and adoption; and Advance digital transformation within the insurance sector.

    Read Also: Reps blame NAICOM for 25 insurance firms financial infractions

    “However, the key objectives of the guidelines include Promoting the growth and development of Insurtech in Nigeria; Establishing regulatory standards for Insurtech setup and operations; Encouraging responsible innovation while safeguarding consumer interests; Defining general product features specific to Insurtech; Providing a licensing structure for both Partnering and Standalone Insurtech firms; Facilitating the transition of eligible operators into fully licensed standalone Insurtech entities; and Supporting Nigeria’s broader digital economy and fintech ecosystem

    He said there are two application categories: Partnering Insurtech and Standalone Insurtech.

    “Under partnering insurtech, operators are permitted to transact specific classes of insurance in collaboration with licensed insurers while standalone insurtech gives permission for operators to transact the categories of insurance as may be specified in its licence, excluding special risk products such as Oil and Gas Insurance, Marine and Aviation Insurance, Retirement Life Annuity, and  insurances of government assets and liabilities for Ministries, Departments, and Agencies.

    “Prospective operators must submit applications in accordance with the procedures outlined in Schedule I of the Guidelines. NAICOM reserves the right to grant licenses with conditions deemed necessary under existing laws and this new regulatory framework.

    “Insurtech firms must comply with provisions related to risk management, investment practices, actuarial standards, outsourcing, and other key operational parameters as detailed in the Commission’s Prudential Guidelines.

    “Meanwhile, disputes between Insurtechs and partner insurers must first follow arbitration protocols outlined in their agreements before approaching NAICOM. Consumers may refer unresolved issues from insurance transactions directly to the Commission for review and resolution”, the commissioner added.

  • NAICOM unveils operational guidelines for Insurtech firms

    NAICOM unveils operational guidelines for Insurtech firms

    The National Insurance Commission (NAICOM) has released operational guidelines for Insurtech businesses in Nigeria.

    This is a step towards regulating and expanding digital innovation in the insurance sector.

    The move, which followed a series of stakeholder engagements, NAICOM said, is aimed at creating a unified regulatory environment for emerging insurance technology players.

    A statement from NAICOM said the guidelines, which take effect from August 1, 2025, are designed to streamline the licensing, operation, and oversight of Insurtech firms operating in the country.

    The regulatory framework is expected to stimulate innovation within the sector, improve consumer protection, and boost trust in digital insurance services.

    The guidelines seek to encourage the development of new and creative insurance products and services, while ensuring that consumers receive enhanced service quality and fair treatment.

    NAICOM noted that by setting clear regulatory requirements, it intends to remove ambiguity and create a more predictable business environment for prospective and existing Insurtech operators.

    Among the broader goals of the guidelines is to contribute to Nigeria’s ongoing digital transformation in financial services. NAICOM believes the guidelines will strengthen the Insurtech ecosystem by providing a foundation for responsible innovation, thereby supporting the growth of the fintech and digital economy landscape.

    Read Also: Reps blame NAICOM for 25 insurance firms financial infractions

    The document lays out specific objectives, including promoting Insurtech expansion in Nigeria, establishing standard procedures for Insurtech operations, and protecting the interests of consumers.

    It also defines the nature and scope of insurance products that can be developed by Insurtech companies and introduces a structured licensing framework for both Partnering and Standalone Insurtech models.

    Under the new regime, Partnering Insurtechs will be allowed to offer certain types of insurance products in collaboration with already licensed insurance companies.

    Standalone Insurtechs, on the other hand, will be licensed to offer specified categories of insurance directly, with some exceptions. These exceptions include high-risk categories such as Oil and Gas Insurance, Marine and Aviation Insurance, Retirement Life Annuities, and insurance policies covering government assets and liabilities across Ministries, Departments, and Agencies.

    Prospective operators are required to submit applications in line with the procedures stipulated in the new guidelines. NAICOM retains the discretion to issue licenses with conditions it deems necessary based on applicable laws and the new regulatory structure.

    Licensed Insurtech companies will be expected to comply fully with the Commission’s Prudential Guidelines, including provisions relating to risk management, investment activities, actuarial practices, outsourcing arrangements, and other operational standards.

    In situations where disputes arise between Insurtech firms and their insurance partners, the guidelines mandate that such conflicts must first go through arbitration processes as agreed upon in their partnership contracts.

    However, in cases involving consumer complaints from insurance transactions, customers may escalate unresolved matters directly to NAICOM for review and resolution.

    NAICOM has directed that all existing insurance entities and Insurtech firms currently operating under any form of Insurtech-related arrangement must align with the new guidelines within 30 days from the effective date.

  • NAICOM unveils operational guidelines for Insurtech firms in Nigeria

    NAICOM unveils operational guidelines for Insurtech firms in Nigeria

    The National Insurance Commission (NAICOM) has released operational guidelines for Insurtech businesses in Nigeria.

    This is a step toward regulating and expanding digital innovation in the insurance sector.

    The move, which came after a series of stakeholder engagements, NAICOM said, is aimed at creating a unified regulatory environment for emerging insurance technology players.

    According to a statement from NAICOM, the guidelines, which take effect from August 1, 2025, are designed to streamline the licensing, operation, and oversight of Insurtech firms operating in the country.

    The regulatory framework is expected to stimulate innovation within the sector, improve consumer protection, and boost trust in digital insurance services.

    The guidelines seek to encourage the development of new and creative insurance products and services, while ensuring that consumers receive enhanced service quality and fair treatment.

    NAICOM noted that by setting clear regulatory requirements, it intends to remove ambiguity and create a more predictable business environment for prospective and existing Insurtech operators.

    Among the broader goals of the guidelines is to contribute to Nigeria’s ongoing digital transformation in financial services.

    NAICOM believes the guidelines will strengthen the Insurtech ecosystem by providing a foundation for responsible innovation, thereby supporting the growth of the fintech and digital economy landscape.

    The document lays out specific objectives, including promoting Insurtech expansion in Nigeria, establishing standard procedures for Insurtech operations, and protecting the interests of consumers.

    It also defines the nature and scope of insurance products that can be developed by Insurtech companies and introduces a structured licensing framework for both Partnering and Standalone Insurtech models.

    Under the new regime, Partnering Insurtechs will be allowed to offer certain types of insurance products in collaboration with already licensed insurance companies.

    Standalone Insurtechs, on the other hand, will be licensed to offer specified categories of insurance directly, with some exceptions. These exceptions include high-risk categories such as Oil and Gas Insurance, Marine and Aviation Insurance, Retirement Life Annuities, and insurance policies covering government assets and liabilities across Ministries, Departments, and Agencies.

    Prospective operators are required to submit applications in line with the procedures stipulated in the new guidelines. NAICOM retains the discretion to issue licenses with conditions it deems necessary based on applicable laws and the new regulatory structure.

    Read Also: Reps blame NAICOM for 25 insurance firms financial infractions

    Licensed Insurtech companies will be expected to comply fully with the Commission’s Prudential Guidelines, including provisions relating to risk management, investment activities, actuarial practices, outsourcing arrangements, and other operational standards.

    In situations where disputes arise between Insurtech firms and their insurance partners, the guidelines mandate that such conflicts must first go through arbitration processes as agreed upon in their partnership contracts.

    However, in cases involving consumer complaints from insurance transactions, customers may escalate unresolved matters directly to NAICOM for review and resolution.

    NAICOM has directed that all existing insurance entities and Insurtech firms currently operating under any form of Insurtech-related arrangement must align with the new guidelines within 30 days from the effective date. 

  • Insurers cede 40.7 per cent business abroad in Q1

    Insurers cede 40.7 per cent business abroad in Q1

    Insurance firms ceded 40.7 per cent of their businesses abroad in Quarter 1, retaining a market average ratio of 59.3 per cent in the country, The Nation has learnt.

    This was made known in a Bulletin of the Insurance Market Performance for the first quarter of the year released by the National Insurance Commission (NAICOM).

    NAICOM noted that an insurer’s level of risk retention is dependent on its risk appetite as determined by its financial capacity and evaluation of the given business.

    According to NAICOM, the industry exhibited strong confidence by retaining a significant share of risks in their portfolios despite the challenges posed by economic reforms.

    Read Also: Gunmen abduct seven farmers in Ondo

    The report read: “The insurance industry recorded a market average retention ratio of 59.3 per cent. In the Non-Life segment the proportional retention was comparatively lower owing to the effect of the special risks portfolios thereby it was recorded at about 44.1 per cent precisely.

    “The insurance industry regulator maintained that the statistics from the Nigerian Insurance market in the first quarter of 2025 revealed a sustained positive performance indicating yet, its ability to adapt and grow despite the prevailing macroeconomic challenges.

    “It recorded a notable growth in premium generation of about seven hundred and sixty-nine (N769.2) billion naira, representing an increase of 63.4 per cent, year-on-year (YoY) and, reflective of the sustained regulatory market deepening measures in the sector,” it said.

    The commission further disclosed that the industry recorded a gross premium written of N769.2 billion for both life and non-life businesses during the quarter, the highest ever in premium generation in a first quarter of any year.

    “This is also an indication of the fulfilling potential of the market that has come of age, as the industry looks towards technology and the big-data driven policies for expansion,” NAICOM added.

  • Reps blame NAICOM for 25 insurance firms financial infractions

    Reps blame NAICOM for 25 insurance firms financial infractions

    • •Insurers react

    The House of Representatives has blamed the insurance regulator, National Insurance Commission (NAICOM) for failing in its supervisory role, leading billions of financial infractions by 25 insurance companies.

    This comes on the heels of an ongoing investigation by the House Sub-Committee on Capital Market and Institutions. No fewer than 25 insurance companies operating in the country are being investigated.

    The Chairman of the committee, Kwamoti Laori, blamed the industry regulator, NAICOM, for the infractions, insisting that the Commission failed to discharged its duties effectively and efficiently.

    He said: “I am not holding brief for NAICOM. But, I think if they are doing their job, we will not be here talking about infractions committed by the companies. So, I expect them to sit up. It’s because there are certain lapses somewhere that we are doing what we are doing here in terms of investigation.”

    The lawmaker who represents Demsa/Numan/Lamurde Federal Constituency, Adamawa State, stated this during a meeting with the management of the insurance companies at the National Assembly Complex in Abuja.

    The meeting, according to him, was convened following the receipt of petitions on infractions by the insurance companies, which has led to the Nigerian government losing significant revenue from the companies.

    “This committee is saddled with the responsibility of treating petitions based on infractions from these insurance companies in respect of the operations and non-compliance with certain statutory provisions. And of course, those infractions have resulted in the Federal Government losing hundreds of billions of revenue from these insurance companies. That is why they are invited and each of them has been served and given the extent of their liability. We want them to agree or debunk those liabilities,” he explained, adding that some of the companies have obtained restraining orders against the committee.

    Meanwhile, the insurance companies have reacted to the accusations.

    A press statement released by the umbrella body of the companies, the Nigerian Insurers Association (NIA) and signed by the Director-General/CEO, Mrs Bola Odukale stated that the association has taken due notice of the recent press statement issued by the House of Representatives Committee on Capital Market and Institutions concerning ongoing investigations into certain member companies over alleged financial infractions.

    It read: “The matters raised by the Committee centre on financial reporting, claims settlement, premium remittance, and issuance of policies. The Association wishes to state unequivocally that all actions taken by the NIA and the affected member companies in response to the Committee’s invitations and pronouncements were based entirely on legal advice by its Solicitors. It was on the firm instruction of legal counsel that recourse was made to the courts.

    Read Also: ‘Tinubu is an ardent supporter of media, committed to press freedom’ – Idris

    “The objective of approaching the Court is to seek judicial guidance on the legality, propriety, and constitutional limits of the Committee’s intervention in order to safeguard institutional integrity, uphold regulatory independence, and ensure that legislative oversight remains within the bounds of law.

    “The Court action seeks to determine whether the current posture of the Committee reflects an exercise of legislative judgment, which, by constitutional design, is the exclusive province of statutory regulators, such as the National Insurance Commission (NAICOM), Securities and Exchange Commission (SEC), Nigerian Exchange (NGX), Financial Reporting Council (FRC), Nigeria Data Protection Commission (NDPC), and the National Information Technology Development Agency (NITDA). This raises serious questions about legislative overreach and an erosion of the doctrine of separation of powers, a cornerstone of Nigeria’s constitutional democracy.

    “There are ample records of our members’ cooperation with House of Representatives committees in prior investigations. We wish to seize this opportunity to thank the leadership of the National Assembly for their continued support of the insurance industry, especially in the review of obsolete laws governing insurance practice in Nigeria and the recent passage of the Nigerian Insurance Bill. With this reform, the insurance industry is well-positioned to contribute meaningfully to President Bola Ahmed Tinubu’s Renewed Hope Agenda and the One Trillion Dollar economy vision by 2030.

    “The Association remains committed to lawful and constructive engagement with all arms of government, provided that such engagement respects the autonomy of statutory regulators and the boundaries established by the Constitution.

    The NIA will continue to provide its full support to all member companies while upholding the principles of legal compliance and sector-wide integrity.

  • NAICOM gives reasons for insurance industry reforms

    NAICOM gives reasons for insurance industry reforms

    The National Insurance Commission (NAICOM) has explained that its ongoing reforms are driven by the urgent need to protect consumers, boost innovation, ensure stronger financial foundations for insurers, and make insurance more accessible to millions of Nigerians currently outside the safety net.

    Speaking during the Insurance Week 2025 celebration, Mr. Olusegun Ayo Omosehin, Commissioner for Insurance and Chief Executive Officer of NAICOM, said the reforms are focused on four main objectives: strengthening consumer protection, promoting digital innovation, ensuring capital adequacy and sound governance, and expanding insurance access to underserved communities.

    “The future of Nigeria depends on how well we manage risk,” Omosehin said. “Every decision—whether by individuals, businesses, or government—carries uncertainty. Insurance provides the tools to navigate these uncertainties and protect our collective future.”

    According to the Commissioner, the drive for reform is rooted in the belief that a well-regulated, inclusive, and innovative insurance industry is critical to national development. He said NAICOM aims to create an industry that can better serve citizens across social and economic classes, provide reliable support in times of need, and help businesses and households manage everyday risks.

    Read Also: 42 insurance firms default in payment of N34b claims, says NAICOM

    While the Commission is leading the reforms, Omosehin stressed that lasting impact requires shared responsibility across the sector. “We cannot do it alone. We need every stakeholder—insurers, brokers, agents, and professionals—to uphold the highest standards of ethics, service, and professionalism,” he said.

    He also outlined practical steps insurance operators must take to support the reform goals. These include educating the public on the benefits of insurance, designing products that address the needs of people in both formal and informal sectors, ensuring claims are processed promptly and transparently, and investing in talent and technology to build public trust.

    Speaking at the Insurance Week celebrations, Omosehin described it as a call to deepen awareness about the value of insurance across Nigeria. “From Lagos to Abuja, Port Harcourt to Kano, we are seeing growing interest and participation in insurance awareness campaigns. This momentum must continue,” he noted.

    He urged all operators to renew their commitment to building an insurance industry that meets the real needs of Nigerians and supports the country’s broader economic and social goals. “Insurance is not a luxury; it is a necessity,” Omosehin concluded.

    By driving these reforms, NAICOM said it aims to reposition the industry to better protect Nigerians, promote innovation, and help the country manage risk more effectively in an increasingly uncertain world.

  • NAICOM to release supplementary guidelines on N650b annuity fund

    NAICOM to release supplementary guidelines on N650b annuity fund

    The National Insurance Commission (NAICOM) is set to release supplementary guidelines to protect the over N650billion Annuity Funds of the Contributory Pension Scheme (CPS) being managed by insurance companies..

    A member of Communication and Stakeholder Engagement Sub-Committee, Insurers Committee, Moruf Apampa, who made this known at a post-June 2025 Insurers’ Committee meeting briefing in Lagos, said the supplementary guidelines and other measures taken by NAICOM are geared towards protecting annuitants and other policyholders.

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    Apampa, also the Managing Director, NSIA Insurance Limited, said NAICOM has brought out a supplementary guideline on the business of annuity to build further confidence in the market.

    He said: “The industry regulator is coming up with additional guidelines to ensure that annuitants are actually protected.

     “The commission is taking proactive measures to ensure that no company goes under or annuitants are not paid their normal monthly allowance. This is to ensure no failure occurs. These guidelines will be released soon. NAICOM is coming up with new guidelines that will support the initiative of the government in improving the economy, one of which is the market guidelines.”

  • Mixed reactions trail N34b claims default

    Mixed reactions trail N34b claims default

    Mixed reactions have continued to trail the National Insurance Commission (NAICOM)’s revelation that some companies owe over N34billion claims.

    While some claimed that they were not owing, others owed up but appealed for more time to pay up.

    NAICOM had in the past threatened to publish names of insurers with unsettled claims and has done so, publishing 42 companies with 1,571 aggrieved policyholders.

    The companies are A&G Insurance, Allianz, Consolidated Hallmark Insurance Plc (CHI), Leadway Assurance, AIICO Insurance Plc, African Alliance Insurance Plc, Anchor Insurance, Axa Mansard Insurance Plc, Capital Express Insurance, Coronation Insurance, Cornerstone Insurance, Custodian, emple Insurance(former Old Mutual), Fin Insurance, Great Nigeria Insurance (GNI), Goldlink Insurance, Guinea Insurance, Heirs Life and International Energy Insurance (IEI) Plc.

    Others are Industrial and General Insurance (IGI), KBL Insurance, LASACO Assurance, Mutual Benefit Life, Mutual Benefit General, Nigerian Agricultural Insurance Corporation (NAIC), NICON Insurance, NEM Insurance, NSIA Insurance, Prudential Zenith, Regency, Royal Exchange Prudential, REX General.

    Also included in the list are Sanlam, Sovereign Trust Insurance Plc (STI), STACO Insurance, Stanbic Insurance, Standard Alliance Insurance, Sterling Insurance, SUNU Assurance, Zenith General, Tangerine Life Insurance, Tangerine General Insurance, Universal Insurance and Veritas Kapital Assurance.

    But top on the list as the biggest defaulters are IGI with 327 claims, A&G Insurance with 80 unsettled claims, African Alliance with 282 claims, Standard Alliance with 229 policyholders, GNI 37, Goldlink with 37 and NICON with 36 claims.

    Other companies listed with unpaid claims are Allianz has 31 unsettled claims, AIICO 65, IEI 23; CHI 13; Leadway 18; Anchor nine; Axa Mansard 15; Capital Express 19; Coronation 29; Cornerstone eight; Custodian nine; emPLE four; Fin Insurance four; Guinea five; Heirs Life two; KBL Insurance five; LASACO six; Mutual Benefit Life 20; Mutual Benefit General four; NAIC five; NEM 14; NSIA 12; Prudential Zenith 15; Regency six; Royal Exchange Prudential 51; and REX General 5.

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    Also, Sanlam has 24 unsettled claims, STI 13; STACO 42; Stanbic Insurance one; Sterling Assurance four; SUNU five; Tangerine Life Insurance 20; Tangerine General Insurance four; Universal Insurance 8; Veritas Kapital Assurance 10; and Zenith General 10.

    Managing Director, NEM Insurance Plc, Mr. Andrew Ikekhua said NEM paid over N25billion as claims last year as a responsive organisation.

    Any claims not paid might be because they lacked merit or we suspected fraud, he stressed.

    Also, the Head, Corporate Services, Leadway Holdings, Aishat Bello-Garuba, said they were not owing any claims.

    Group Head of Marketing & Corporate Communications at Cornerstone, Cordelia Ekeocha clarified that out of eight cases, three cases had been settled and that they were awaiting feedback from NAICOM.

    Ekeocha further stated that one of them was not in their records; one a repudiated claim while three others were under litigation.

    She affirmed that they are known for prompt payment of genuine claims.

    But the Head of Corporate Communications, IGI, Ms. Olufumilayo Afolabi, howver, appealed to policyholders for more time to clear the claims.

    She said: “We have a change in management. With this transition, we are more than committed than ever to ensuring the satisfaction of our customers and clients and one of our top priorities is to address any outstanding payments promptly which our new administration is wholeheartedly committed to.

    “We have started paying these claims in batches and we are reaching out to claimants to inform them of dates payment will be made.”

  • 42 insurance firms default in payment of N34b claims, says NAICOM

    42 insurance firms default in payment of N34b claims, says NAICOM

    Forty-two insurance companies with backlogs of unpaid claims have been listed by the National Insurance Commission (NAICOM).

    The release of the list against N34 billion unpaid claims was part of a new enforcement of “naming and shaming” by the insurance regulator.

    The Commission listed 42 companies with 1,571 aggrieved policyholders stating their names and policy numbers.

    But many insurance firms have decried the list as inaccurate and poorly conceived.

    Some said they had paid all claims listed against their names.

    One of the operators who spoke on condition of anonymity expressed concern, noting that the action of the regulator would further disparage the industry.

    Read Also: Voice alone not enough to thrive in music industry – Waje

    Others, when contacted, showed receipts of claims paid which was still listed by NAICOM as unpaid claims.

    Managing Director, AIICO Insurance, Mr. Babatunde Fajemirokun said claim payment is procedural, with rules guiding each  stage.

    He noted that occasionally, a policyholder may disagree with a claims decision or offer, but this does not imply a failure to act.

    “As you know, complaints are a natural part of the insurance business, especially in a large portfolio like ours. What matters is that we have robust processes in place and are committed to settling all genuine claims and benefits promptly,” Fajemirokun said.

    Managing Director, REX Insurance, Mrs. Ebele Nwachukwu, said that the publication was not very good for the industry, noting that the commission should have been sent the list to insurers for a final update.

    While stating that it is good that the commission wants to be tough on operators, she posited that it has to be toughness with accuracy.

    Managing Director, NEM Insurance Plc, Mr. Andrew Ikekhua said any claims not paid by his company might be because they lacked merit or where suspected to be fraudulent.

    IEI Managing Director Olasupo Sogelola said the NAICOM list the status rolled out by NAICOM was an old status which has, in several instances, been cleared.

    NAICOM had in a statement threatened to sanction all insurance companies who fail to pay outstanding insurance claims.

    The statement reads: “Already, the commission directed all insurance companies to commence publications of all outstanding claims in their records because some of them do not have full documentation which is not appropriate as companies are expected to settle their claims naturally.

    “We have also said it that there would be consequences for disobeying the Commission’s directive in that regard, one of which will be naming and shaming the defaulting companies because we are doing a lot to ensure insurance companies live up to their responsibility as regard payment of claims.”