Minister of Finance, Budget and National Planning Mrs Zainab Ahmed has mandated the National Insurance Commission (NAICOM) to deepen insurance penetration in the country by making insurance companies develop new products and policies for their public.
The finance minister said there is urgent need to achieve more insurance penetration in the country to drive home the idea of insurance in the minds of more Nigerians.
Mrs Ahmed gave the directive in Abuja yesterday when she played host to the governing board of NAICOM in her Abuja office.
“Members should commit to develop and implement policies that would promote the reputation of the industry through prompt payment of claims. Your target should be to take the industry to greater and enviable heights during your tenure,” Ahmed told her visitors.
In his remarks, chairman of the board Abubakar Sani said his team is working hard to proffer solutions to curb the ugly trend of insurance failure by way of instituting strong regulatory measures in the Board of directors of all the insurance entities to make them perform better, by adhering to their corporate rules that establish them.
Sani said the commission will enforce the professional code of ethics among the insurance entities, strengthenHe said the NAICOM board will soon “revisit the matter of recapitalization of the insurance industry and clean up its act with the enforcement of code of ethics of insurance profession and practice, and code of good corporate governance in companies”.
The board also promised to create an enabling environment for insurance industry to beef up their capital through mergers and acquisitions, and invitation of fresh capital from the local and international investors.
“Accordingly, Investors Forum where insurance companies that need capital will interact with potential investors: insurance companies will come together to showcase themselves where there will be due diligence to enable potential investors to know their financial status,” he stated.
He appealed to the minister to support their effort to look for investors that would make the Nigerian insurance industry robust to effectively strengthen the entities to play their roles in making other businesses thrive in the country.He said the NAICOM board will soon “revisit the matter of recapitalization of the insurance industry and clean up its act with the enforcement of code of ethics of insurance profession and practice, and code of good corporate governance in companies”.
The board also promised to create an enabling environment for insurance industry to beef up their capital through mergers and acquisitions, and invitation of fresh capital from the local and international investors.
“Accordingly, Investors Forum where insurance companies that need capital will interact with potential investors: insurance companies will come together to showcase themselves where there will be due diligence to enable potential investors to know their financial status,” he stated.
He appealed to the minister to support their effort to look for investors that would make the Nigerian insurance industry robust to effectively strengthen the entities to play their roles in making other businesses thrive in the country. their corporate governance, which the board believes will sanitize the market.
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