The Nigeria Police Force (NPF) is set to commence the full enforcement of Third Party Compulsory Insurance on Nigerian roads across the country by February 1, 2025.
This followed a partnership deal between the National Insurance Commission (NAICOM) and the NPF in Abuja at the weekend.
The commissioner for Insurance and chief executive officer of NAICOM, Olusegun Ayo Omosehin had paid a working visit to the Inspector General of Police (IGP), Kayode Adeolu Egbetokun at the Force Headquarters on Friday to discuss the issue.
The commissioner for Insurance, Omosehin congratulated the IGP on his notable achievements, particularly, the recent licence acquisition for the Police Insurance Company. He reminded the IGP of his earlier request for assistance in enforcing all compulsory insurance policies, but this time, narrowed his focus on Third-Party Motor Insurance.
The CFI pledged to provide the necessary support to ensure seamless enforcement of third-party motor insurance across the country.
To guarantee the success of this initiative, the CFI emphasised the need for a mass awareness campaign and education of the Nigeria Police Officers.
In response, the IGP expressed his alignment with the CFI for insurance, acknowledging the compulsory nature of third-party motor insurance in Nigeria.
He emphasised that, violating this law is punishable, yet unfortunately, only 30% of vehicles in the country are insured.
The IGP highlighted the numerous benefits of having insurance coverage, stressing the importance of protecting lives and property. He urged citizens to obtain at least a third-party insurance cover for their vehicles before driving on Nigerian roads.
To ensure compliance, the IGP announced that full enforcement of third-party motor insurance will commence on February 1, 2025.
Present at the meeting was the deputy commissioner, Technical, Dr. Usman Jankara, the deputy commissioner Finance and Administration, Ekerete Ola Gam-Ikon, Director Legal, Enforcement & Market Development, Dr. Talmis Usman, director of Inspectorate, Bankole Ajebola, Senior Police Officers, and others.
Earlier, the commissioner for Insurance and CEO of the National Insurance Commission, Olusegun Ayo Omosehin, welcomed Aiyub Omar, the High Commissioner of the High Commission of Malaysia to Nigeria, to his office in Abuja on Thursday, January 9, 2025. This courtesy visit took place at the Commission’s Headquarters.
The CFI kicked off the meeting by introducing his team members, setting the tone for a productive discussion. He then delved into the core functions of the commission, emphasizing its dual role in regulating the insurance industry’s business activities and driving growth and development in Nigeria.
To achieve the latter, the CFI suggested studying countries with similar characteristics, such as Malaysia, which has witnessed rapid growth in Takaful Insurance over the past three decades. This approach would enable the Commission to identify best practices, gain valuable insights, and adapt strategies that have proven success in similar markets.
The CFI emphasised the need for knowledge sharing and strategic partnerships, saying, by learning from Malaysia’s experiences and best practices, Nigeria can accelerate its economic growth and development, ultimately achieving the ambitious goal of a $1 trillion economy.
The CFI brought to the Malaysian High Commissioner’s attention the newly passed insurance bill by the Senate, which now awaits concurrence from the House of Representatives. This bill is expected to significantly boost capital in the insurance industry and create new investment opportunities.
The Malaysian High Commissioner in response said he was thrilled by the reception by the National Insurance Commission and expressed his enthusiasm for collaboration. He highlighted Malaysia’s expertise in Takaful Insurance, emphasizing the potential for bilateral agreements to drive growth in Nigeria’s insurance industry, particularly in the Takaful sector.