‘People, lack of corporate governance make companies fail’ | The Guardian Nigeria News - Nigeria and World News

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Sunday Olorundare Thomas is the Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission. In this interview with FEMI ADEKOYA, he speaks on various issues affecting the insurance industry. The National Insurance Commission recently increased the premium on third party motor insurance from N5,000 to N15,000. What informed that decision? People talk […]

Sunday Olorundare Thomas is the Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission. In this interview with FEMI ADEKOYA, he speaks on various issues affecting the insurance industry. The National Insurance Commission recently increased the premium on third party motor insurance from N5,000 to N15,000.

What are you doing in terms of regulation and sanitisation of the industry with a view to getting operators to comply with rules and guidelines? Also, we have put some shock absorbers to ensure that it does not smear on the industry. You are aware that we have canceled some licences since I came in. It was because we have given them opportunities to re-invent themselves but they were not able. When that was not forthcoming, we had no choice than to do the needful. So, we have institutions that the moment you are not able to meet your liability to the public, it becomes a concern.

Apart from that, we know that valuations are changing, just as annuity is becoming more significant in the portfolio of the industry. Before the 2004 Act, annuity was not a product. But with the 2004 Act, as amended by the 2014 Act, it has become more critical and insurance, to a large extent, has become a major beneficiary of that Act.

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