Lagos renews support for insurance industry



From left: Hon Commissioner for Economic Planning and Budget, Ben Akabueze and President National Association of Insurance Correspondents (NAICO) Modestus Anaesoronye at the event.

Chuks Udo Okonta

The Lagos State Government has pledged to sustain its support for the growth and development of the insurance industry by working with the operators on enforcement of laws.

Governor Raji Fashola, who was represented by Hon Commissioner for Economic Planning and Budget, Ben Akabueze, disclosed this today at the Maiden Public Lecture organised by the National Association of Insurance Correspondents (NAICO) in conjunction with Lagos State Government. He noted that the government will partner the Nigerian Insurers Association (NIA) to enforce compulsory insurances,   adding that the state is often impervious to the risks people face on a daily basis.

He said: “Risk here being the probability or the threat of damage, loss, injury or any other negative occurrence that is caused by external or internal vulnerabilities, the consequences of which may be avoided through preemptive action.

“In other words, it can simply be described as the probability of losing something of value for example physical health, property or social status.

“Risk management refers to the steps we take to mitigate or eradicate the risk. As a government, we are responsible for the wellbeing and welfare of the people we serve. We have a responsibility to provide social security for both the young and the elderly; a responsibility to provide security of life and property and also a responsibility to ensure that the Infrastructure put in place are properly maintained in a way and manner that the State can be described as having a ‘developed economy status’.

“Where we fail to take pre-emptive steps to attend to the risks that come with the responsibilities that have been placed on us, we would be failing in a part of our duty as Government.

“The Lagos State Government has always been in the vanguard of identifying risks and taking steps to mitigate/eradicate those risks, as much as possible. To list a few, the Climate change risks which could expose the State to flooding and other natural hazards but which we have successfully mitigated in the past few years; Health Risks such as that recently posed by the incursion of Ebola Virus Disease to Nigeria, against which prompt steps were taken by the State Government to curtail the spread of the disease.

“We also face security challenges: kidnapping, ritual killings, armed robberies etc. These are threats to peaceful co-existence of inhabitants of the State. To mitigate those risks, the Lagos State Government equipped the Rapid Response Squad and other Law enforcement agencies.

“Our youth and the elderly are exposed to social protection risks which if not addressed could result in poverty, and other security hazards in the community.

“Furthermore, risks of danger to lives and property of the citizens exist where, due to unprofessional practices on the part of those involved in construction, substandard materials are used in construction.”

Director-General NIA, Sunday Thomas, urged the state government to empower its people so that they can afford to purchase insurance.

Former Commissioner for Insurance Oladipo Bailey, called on the government to do more in helping insurers enforce compulsory laws.