Insurance Brokers Urge FG To Reconsider Classification Of NAICOM As Revenue Generating Agency

The Nigerian Council of Registered Insurance Brokers (NCRIB) has urged the Federal Government to re­consider classifying the National Insurance Commission (NAICOM) as a revenue generating agency.

Prince Babatunde Oguntade, the President of the Council, made this call at the retreat organised for members of the House Committee on Insurance and Actuarial Matters recently in Lagos.

Oguntade, noted that the insurance supervisory fund levy being paid by insurance institutions was meant for the regulatory supervision and market development drive of the insurance industry by the Commission and placing it within the Single Treasury Account system would encumbers the financial solvency position of the commission and ostensibly hinders the market much desired insurance growth in the country.

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The NCRIB President noted that the insurance industry which should be the linchpin of economic revival efforts of the government in Nigeria was currently fragile and that the lawmakers should encourage the government to exempt the Commission from the revenue generating agencies it was recently classified as.

He also appealed to the law makers to work expeditiously on the passage of the 2022 Consolidated Insurance Bill which when passed into law would cure the various inadequacies in the existing Insurance Act 2003 and the 1997 NAICOM Act, for the steady growth of the industry.

Oguntade, expressed concerns that government institutions were lax in ensuring that human and material assets of government are adequately insured, imploring the law makers to reverse the tide by encouraging performance of the implementation of insurance budgets by Ministries, Departments and Agencies for the overall growth of the insurance and its accelerated contribution to the nation’s Gross Domestic Product (GDP).