NAICOM demands new market agreement from NIA

Wiggle (middle) being decorated

•  Tasks new NIA Chairman on early submission of financial accounts

The National Insurance Commission (NAICOM) today demanded new market agreement from the Nigerian Insurers Association (NIA), and also tasked insurers on early submission of their financial accounts and returns.

Market agreement is a law that would compel members of the association to eschew unethical behaviors and conforms with stipulated industry's rules.

The Commissioner for Insurance,  Fola Daniel, gave this charge at the investiture of the 21st, President of the NIA and Managing DIrector/CEO Linkage Assurance Plc  Godwin Wiggle, stressing that early submission of financial accounts play an important role in the growth of the industry.

He called on the new chairman to produce a new market agreement that will be signed by all the insurance companies on the basis of mutual self-regulation and that will be void of cabal.

He noted that this long outstanding promises of the council should be the new chairman's first practical task as he strategize on other concerns

Wiggle

 

According to him the Insurance Act 2003 provides for the submission of annual accounts no later than June 30, while the requirement by the Nigerian Stock Exchange (NSE) for listed companies is March 31.

He added that the commission had in the past continued to plead for the sector with other regulatory forbearance.

He frown at the submission of annual account by companies before Christmas, adding that it shows that either the company is lacking integrity issue or they are withholding some information to the public.

Daniel noted that going forward insurance companies must comply with all requisite regulatory requirements without plea subsidies from the commission.

He urged the new Chairman to instil discipline among members of the association, adding that the commission will be very firm in enforcing compliance with the laid down rules and regulations in order to instil discipline in the sector.

"It is high time we all stepped up our game and learn to play by the rules. It is only by so doing that we can achieve real growth and development in the industry and make meaningful contribution to the economy.

"The commission will continue to create the right environment for ethical behaviour and conversely, where we identify actions detrimental to the interest of the industry. We shall take corrective steps as part of our mandate.

“We shall continue to be responsible, responsive and when necessary, carry yoyo along in the course of our actions and /or inactions; but in the overall interest of the industry, will regulate in accordance with international standard and best practice”, he said.

He added that the introduction of International Financial Reporting Standard(IFRS), Anti-Money Laundering and countering the financing of Terrorism (AML/CFT) regime, the No Premium No Cover, the requirement for offshore remittance etc has benefitted all member of the association and significantly curbing market abuses.

From left: President Chartered Insurance Institute of Nigeria (CIIN) Bola Temowo; Commissioner for Insurance Fola Daniel and former Managing Director Nigerian Breweries Felix Ohiweri at the event.

The chairman of the event, Felix Ohiwerei, noted that Nigerians underplay the importance of insurance, adding that insurance is an arm of the economy that must be taking seriously.

He added that insurance industry plays vital role in nation building and economic growth.

He said at 21, operators should ensure that they make insurance to be more active, visible for the younger generation to take it serious after their exist from the industry.