The National Insurance Commission (NAICOM) has mandated insurance companies to cover the costs of all resolved claims, reinforcing its commitment to policyholder protection.
This directive was issued during the Insurers’ Committee Meeting held in Lagos on Wednesday.
Mrs Ebelechukwu Nwachukwu, Head of the Communication and Stakeholders Management Sub-committee, stated that the move aims to sanitise the insurance industry and reduce complaints from policyholders.
Nwachukwu, also the Managing Director of Rex Insurance Ltd., noted that the measure would promote greater accountability among insurance companies.
She revealed that the NAICOM Commissioner had expressed concern over the growing number of unresolved claims, despite ongoing efforts to streamline settlement processes.
“The NAICOM Commissioner urges insurance companies to engage their brokers and customers to minimise outstanding claims,” she stated.
She also highlighted NAICOM’s emphasis on compliance with Nigeria’s Data Protection Regulations, urging industry practitioners to undergo data protection training.
“Given the global shift towards digitalisation, NAICOM recognises the need to develop cyber insurance products,” she added, noting the Commission’s collaboration with the National Information Technology Development Agency (NITDA) and the Nigeria Data Protection Agency to facilitate this initiative.
Furthermore, Nwachukwu reiterated NAICOM’s commitment to providing an enabling environment for insurers, revealing ongoing discussions on strategies to enhance security in Nigeria’s aviation industry.
“NAICOM is calling for support in enforcing third-party motor insurance policies and seeks collaboration on its innovation lab initiative,” she said.
On regulatory compliance, she encouraged insurance practitioners to adhere to financial reporting requirements to uphold credibility.
“The NAICOM Commissioner emphasised solvency control, urging CEOs to educate their boards on the required solvency levels for insurance firms,” she added, noting that the existing framework would be reviewed in line with capital requirements.
