NCAA, NAICOM Seal Aviation Insurance Pact

The Nigeria Civil Aviation Authority (NCAA) and the National Insurance Commission (NAICOM) have signed a Memorandum of Understanding (MoU) to strengthen the regulation and oversight of aviation insurance in Nigeria, with both agencies pledging closer collaboration to protect passengers, operators and investors.

The agreement, signed on Wednesday at the NCAA headquarters in Abuja, also formally established a Joint Technical Committee on Aviation Insurance to facilitate regulatory cooperation, information sharing, verification of insurance compliance and prompt resolution of emerging challenges in the sector.

Speaking at the ceremony, NCAA director-general of Civil Aviation, Capt. Chris Najomo, described the agreement as a landmark development that would strengthen aviation safety, financial resilience, regulatory compliance and protection of the travelling public.

Najomo said aviation, despite being globally recognised as one of the safest modes of transportation, remained exposed to high-impact operational risks which made adequate insurance protection indispensable.

“Our objective is not merely to enforce compliance, but to establish a balanced regulatory environment in which aviation safety and financial protection complement each other,” Najomo said.

On his part, the commissioner for insurance of NAICOM, Olusegun Omosehin said the agreement represented more than an institutional arrangement, describing it as an affirmation of the regulators’ shared responsibility to protect consumers and strengthen the aviation ecosystem.

Omosehin said effective insurance protection was not merely a regulatory requirement but an essential risk-management mechanism capable of safeguarding lives, property and businesses.

He stressed the need for regulators to work together to ensure that insurance arrangements supporting aviation remained adequate, valid and responsive to emerging risks.

The NAICOM boss highlighted the importance of the newly established Joint Technical Committee, saying it would “midwife” the smooth operation of the collaboration.

He specifically referenced provisions of the NCAA Act requiring adequate insurance coverage, noting that closer cooperation between the two regulators would make enforcement more effective.

Omosehin also sought to dispel outdated perceptions about Nigeria’s insurance industry, saying the sector had become better capitalised and regulated and was now better positioned to meet its obligations.

He said insurers must be prepared to respond when aviation incidents occur, ensuring that affected families, businesses and other entities receive the protection for which insurance was designed.

Earlier, the Director of Air Transport Regulation, NCAA, Mrs O. T. Babaoye-Iriobe, said aviation insurance was integral to the safety, stability and sustainability of the industry.

She said the NCAA remained committed to ensuring that appropriate insurance arrangements were maintained to protect passengers, operators, third parties, cargo and other interests against liabilities arising from aviation operations.