A third-party insurance cover is a specific policy that
protects you against legal or accidental liability, financial loss or damage to
property. The cover also protects you in case of a third-party injury or even
death of the person because of your vehicle. When driving, there is a real risk
of an accident.
Holders pay N5,000 to procure the insurance. But operators said it was time for a review.
Vice -Chairman, Sub-Committee , Publicity and Communication
Sub-Committee, Mrs Ebelechukwu Nwachukwu, said that this was part of the
fallout of the Insurers Committee meeting held in Lagos.
Nwachukwu, also the Managing Director, NSIA Insurance
Company, said the Commissioner of Insurance, Mr Sunday Thomas, following a
reactivation of the Insurers Committee, directed it to determine the adequacy
of the current premium for the third-party motor insurance policy .
“The committee has received the permission of NAICOM to
review and determine the adequacy of the current premium for the third-party
motor insurance policy.
“When you have a third-party policy, it is necessary that
you revisit it from time to time, so the technical and actuarial professionals
will start working on that,” she said.
The Insurers Committee also announced Federal Government’s
plans to insure all its assets across the federation.
Nwachukwu explained that representatives from the Ministry
of Finance were at the meeting to inform the regulator and operators of the
development.
“The representative of the Ministry of Finance spoke to us
on the willingness and readiness of the federal government to insure all its
assets.
“As a result of the development, we are going to be having a
meeting between the industry and the Ministry of Finance to discuss all the
modalities and guidelines.
“Our discussion will address issues around data, premium
payment , amongst others, ” she said.
According to her, the industry is excited that the
government was paying attention to insuring its assets and sustain the culture,
as this would set a positive pace.
The managing director hinted that the insurers committee
have also agreed to scale up the ECOWAS Brown card by going into automatic
issuance in Nigeria .
“Issues around enforcement of the brown card issuance and
lots of issues around the claims that have occured for people who have it were
also discussed extensively,” she said.
The Sub-Committee Vice -Chairman revealed that NAICOM also
charged operators to show more interest in Financial inclusion, review the
guidelines around it and report to the commission .
” The commission will like to get feedback on anything that
make people show more interest in micro insurance and Takaful insurance,” she
said.
On IFRS 17 and implementation, Nwachukwu noted that the
regulator had encouraged all the insurers to ensure that they gather analysis
and get ready by putting in place all internal requirements and board for the
implementation.
The managing director disclosed that the rebranding project
of the industry has been extended and would be re- initiated soon with a new
structure that was different from the former .
Nwachukwu revealed that the sub-committees of the Insurers
Committee have been reduced from 8 to 6 .
She listed the sub -committees as: Corporate Governance and
Ethics, Market Development and Government relation, Customer Services,
Credentials Guidelines, Technical and Publicity/ Communication subcommittee.
The meeting was attended by top directors in NAICOM and
Chief Executives Officers of insurance companies.
Insurers Committee was established by NAICOM and operates
like the Banker’s Committee .
It consists of NAICOM directors and CEO’s of all underwriter
insurance companies in Nigeria .
The Committee , inaugurated on Nov. 19, 2015 by the then
Minister of Finance, Mrs Kemi Adeosun, operates under a mandate to rebrand and
strategically reposition the insurance industry