The federal government through the ministry of finance is currently in discussion with the insurance industry to insure assets of its ministries, departments and agencies (MDAs) across the country.
Federal government, before now, had only insured a small fraction of its assets, but with the current commitment, the government would be leading by example to ensure that other economic players imbibe insurance culture.
This, according to findings, is expected to bring into the insurance industry, premium income to the tune of billions of naira, thereby, enriching the books of insurance firms in the country.
Speaking after the insurers’ committee meeting held in Lagos at the weekend, a member of the publicity sub-committee, Mrs Ebelechukwu Nwachukwu, confirmed that there is an ongoing engagement between government and the insurance industry on the issue.
Nwachukwu, who is also the vice chairperson of the Nigerian Insurers Association (NIA), said that in the coming weeks, insurance stakeholders will meet with representatives of the ministry of finance to discuss the right discount and premium to charge, adding that operators are very excited about the plan.
Nwachukwu, who is equally the managing director/chief executive officer, NSIA Insurance Limited, said: “We have spoken to the ministry of finance and they spoke to us about the willingness of the federal government to insure all its assets now.
“Government is interested in making sure all its assets are insured and we are going to be having a meeting with them through the ministry of finance to discuss the modalities; such as the right discount and the right premium to charge. We are very excited that the government is now paying attention to appropriately insure its assets.”
She stressed that Insurers committee, at the meeting, agreed to review the adequacy of the N5,000 premium charged for third party motor Insurance policy.
Meanwhile, the vice president, Professor Yemi Osinbajo, has advised Nigerians to engage the services of registered insurance brokers in the protection of their assets, irrespective of their economic status and position.
He gave the advice when a delegation of the Nigerian Council of Registered Insurance Brokers (NCRIB) led by its president, Mrs. Bola Onigbogi paid him a courtesy visit in Abuja recently.
He noted that, “it’s Important that our assets are insured, since insurance is the best way to save money, rather than thinking we could save money by not insuring.”
The VP specifically highlighted the roles of insurance brokers in the insurance value chain and economy, stressing that professionals such as brokers have crucial roles to play in the on-going revitalisation of the nation’s economy.
He assured that the present administration would support the council, in all areas where it seeks to accelerate insurance awareness and growth of the profession in the country.
Speaking earlier, the president of the council, Dr. Onigbogi applauded the federal government for releasing the sum of N9.2billion for group life of its employees.
She appealed to the vice president to help sensitise ministries, departments and agencies (MDAs) of government to maximise benefits of insurance by budgeting yearly for insurance of their assets as a prudential financial strategy.