NIA lauds NAICOM’s regulatory scheme

THE Nigerian Insurers Association (NIA) – the market umbrella of risk underwriters – has commended the National Insurance Commission (NAICOM) The Director-General of the association, Sunday Thomas, speaking at a seminar for insurance journalist in Ilorin, Kwara State, on “The media and Nigerian insurance sector transformation” said that the commission has created a formidable regulatory system that has to some extent earned the respect of the operators.

The NIA boss said “Enforcement of the compulsory insurances through the Market Restructuring and Development Initiatives (MDRI); sustained and improved the established alternative dispute resolution mechanism; minimize and reasonably eliminate huge outstanding premium with the “No premium no cover” policy directives; expansion in the local capacity for oil and gas insurance business with the establishment of the EAIPN; development of insurance market for the low income group with the introduction of microinsurance; establishment of the Nigerian insurance industry database (NIID) for effective verification of insurance policies.”

Others include “issuance of corporate governance guidelines to establish sustainable transparency and accountability; promoting effective distribution of insurance products through bancassurance; and institute in the industry stability and cooperation free of avoidable conflicts”.

Besides, he said, there has been a healthy cooperation between the media and the insurance sector, adding the instrumentality of the media is of necessity in creating the needed market for insurance products.

Thomas said that because of this relationship, there has been increase visibility of the insurance sector resulting from interaction with the media, adding that there are more grounds to cover while leveraging on the mutual relationship between the media and the insurance sector.

In his remarks, the Commissioner for Insurance, Fola Daniel, said the reforms initiated by the commission in the last five years has witnessed tremendous changes and predicted positive outlook for the industry.

According to him, the enforcement of minimum solvency margin and capital requirements has strengthened investments and policyholders’ protection and public confidence in the industry. .