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NIA To Name, Shame Insurers Undercutting Premium Rate

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The Nigerian Insurers Association (NIA) has adopted naming and shaming of insurance companies that engage in undercutting of premium rate, its outgoing Chairman, Ganiyu Musa, has said.

He disclosed this today at a press conference in Lagos, adding that the National Insurance Commission (NAICOM) had barred insurance firms from engaging in such nefarious act at vehicle licencing offices and that the NIA council had followed up the decision by adopting the measure of naming and shaming any insurance company going contrary to the agreed premium rate.

Musa noted that the NIA is engaging with Road Traffic Officers of the Federation to drive integration of the third-party motor Insurance across the states following their request for the implementation of the system in all 36 states including the Federal Capital Territory (FCT).

He posited that the association will continue to partner relevant government agencies on the adoption of the Nigerian Insurance Industry Database (NIID) and Nigerian Insurance Industry Portal (NIIP), stressing that the association is
also working with Lagos State Building Control Agency as part of engagements on the implementation of Lagos State Building law – Occupiers Liability and Builders Liability insurance.

“The Association is also working closely with the state vehicle Inspection service on enforcement of Third-Party Motor Insurance in the States. Kaduna, Kogi, Rivers and Ogun States have already keyed into the project and more States are already discussing with the association to finalize arrangements on how they can join,” he submitted.

He maintained that the association’s aim is to achieve national coverage, adding that it
remained hopeful that other states will see value in the platform and embrace it.

The outgoing NIA Chairman noted that the association will continue to complement the efforts of NAICOM in their campaign on domestication of compulsory insurances in the States, adding that it is the association’s expectation that laws on compulsory insurances can be domesticated in other States just as Lagos State has done.

He posited that beyond the efforts of the commission, the association has also scaled up its market development initiatives through strategic engagements with the various States especially Lagos State.

Recall that the association recently suspended three insurance firms for portraying the industry in bad light.

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