As part of its efforts to reposition the industry, the National Insurance Commission (NAICOM) has stated that more insurance companies may face sanctions through liquidation.
This information was presented at the Chartered Insurance Institute of Nigeria (CIIN), Second Edition of 2022 Business Outlook Seminar on Thursday in Lagos by Mr. Sabiu Abubakar, Deputy Commissioner, Technical, NAICOM.
“Economic Policies of the Government in 2022: Challenges, Issues and Prospects” was the seminar’s theme.
“Recently, the licenses of two insurance companies—Niger Insurance and Standard Alliance Insurance—were revoked.
The insurance business could still use additional liquidations, he said, “even though managing the death or failure of financial institutions is quite onerous.”
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Abubakar pointed out that NAICOM had improved its regulatory control to guarantee that operators fulfill their duty by promptly resolving legitimate disputes.
According to the deputy commissioner, oversight and control of the insurance industry have long been the cornerstones of national economic growth.
He stated that the insurance sector would benefit from NAICOM’s reforms and regulatory actions, and the sector would experience remarkable expansion and growth.
Abubakar asked insurance professionals to abide by and aid the commission’s initiatives.
The conference was planned for important figures in the insurance industry and other finance sub-sector to examine the business environment in the nation, according to Mr. Edwin Igbiti, president of CIIN.
Igbiti stated that the review was for the industry’s performance during the most recent year and its future course.
He added that the program “examined the national budget, analyzed the main points of the government’s fiscal and monetary policies, and estimated how they would affect the insurance business in particular and the economy in general.”
He claimed that the conference was crucial in light of the problems the nation is currently facing, including insecurity, a high rate of inflation, debt, oil subsidies, and impending elections.
Despite a favorable outlook for the global industry at the start of the year, Igbiti claimed that the debate will have an impact on the insurance sector and the economy as a whole.