NCRIB to partner NAICOM on debt validation

NCRIB to partner NAICOM on debt validation

Chuks Udo Okonta

The President Nigerian Council of Registered Insurance Brokers (NCRIB) Mrs Laide Osijo, has said the council would partner with the National Insurance Commission (NAICOM) on its planed validation of debts acclaimed to be owed by brokers.

Osijo told Inspen that the council suggested the idea to validate the debts to NAICOM, adding that brokers in recent time are striving to be ethical and professional and would never engage in any thing that would attract sanction.

She said: “We suggested the idea to validate acclaimed debts to NAICOM. The underwriters have been accusing brokers of with-holding premium which is not true. The underwriter often claim that the premiums has been paid and that brokers are with-holding them. But the truth is that most of the premiums are receivables that are not yet collected, especially government accounts. Because the debit notes are written by brokers, it is assumed that the money is with brokers.

“The allegation is unfounded. We have asked underwriters that have documentary evidence to bring them out, so that we can do reconciliation. That was the advice we also gave NAICOM.  The commission wrote us and we replied by telling them to asked underwriters to show evidences of premiums with-held by brokers. I would not say that brokers do not err, but brokers in the past are different from those practising now.

“Brokers of this days are afraid of been sanctioned, hence, they abide by rules. So we are trying to practice professionally and ethically these days, and I can boldly boast of that. Why would any body accuse somebody for no just cause? It is unfair. If it is possible underwriters can go to the insured to confirm if the premiums have been paid, instead of accusing brokers unjustly. But that may be going to the extreme for there is no contract between the insured and the underwriter. Since we bring the business, we should be allowed the freedom of contract.”

She said NCRIB would collaborate with NAICOM at all level to validate the claims of underwriters to stem the allegation the brokers hold back underwriters’ premiums, stressing that there should be proper documentation before laying an accuse on a broker.