Revoked brokers' license to attract new fee, says NAICOM

 Chuks Udo Okonta

Brokers whose operational licenses are revoked due to infraction would henceforth pay the new processing fee of N2.5 million to remain afloat, the National Insurance Commission (NAICOM) has warned.

The Commissioner for Insurance Fola Daniel, disclosed this at the Council meeting of the Nigerian Council of Registered Insurance Brokers (NCRIB) on Tuesday in Lagos.

He urged brokers to avoid any thing that would make NAICOM revoke their licenses, adding that any broker who subverts the industry's rules, and have his or her license revoked has to be considered as intending member and pay the new processing fee.

Daniel used the occassion to discussed issues of the new premium collection and remittance regime with the brokers.

Meanwhile, the President NCRIB Mrs Laide Osijo, at the Members Evening of the Council, urged brokers to cooperate with NAICOM in the implementation of the new premium regime. She advised them to avoid any infraction that may lead to sanctions.

She stressed that the council has gathered from members and underwriters that the public and government are already adjusting to the new premium rule. She called on insurance operators to embark on enlightenment of client on the new rule.

She said: "Reports reaching us from the underwriters and brokers indicate an adjustment to the new rule by insurance clients, including the government.

"Even though it is not out of place of some pessimism about its workbility from some quarters, the onus is on insurance operators , including our members to embark on enlightenment of clients on the new rule.

"From my findings, it has become necessary to advise brokers to cooperate with NAICOM in the implementation of this rule as well as avoid any infraction that may lead to sanctions by the commission."

Osijo noted that the new rule would put to rest the incessant unnecessary bickering between brokers and underwriters over the issue of unpaid premium and remission of brokerage commission.