Stop jumping on the road to arrest vehicles – FRSC

Stop jumping on the road to arrest vehicles, FRSC warns officers

The Zonal Commanding Officer in charge of Ogun and Lagos State operations of the Federal Road Safety Corps, Mr. Samuel Obayemi, has said from January to date, the company has recorded 143 cases of assaults, harassment, knockdowns, abductions, and attacks on staff.

He said that the incident of knocking down of the FRSC operatives rose from 18 in 2018 to 60 in 2019.

“Several unfortunate incidents have claimed the lives of staff with others being injured. We have knockdowns while on duty which total 62. So far, six deaths have been recorded and 73 injured.

“So, as commanding officers, we are expected to regularly brief our officers and marshals, who go on patrol. We need to tell them on a daily basis what we expect them to do.

“Wrong position, jumping on the road to stop vehicles are some of the factors responsible for some of the knockdowns that we have recorded so far.

“Most of these negative reports that we are getting are all emanating from patrol misconducts,” the News Agency of Nigeria quotes Obayemi as saying.

He said the command is also worried over the penchant for operatives of the establishment to engage in under-hand activities while on duty.

According to the top official of the FRSC, operatives of the corps routinely engage in illegal activities, ranging from extortion, bribery, and misconduct while on duty on highways.

He said the development was rubbishing the image of the organisation once known for parading itself as an organisation where corruption is low.

The officer said the corps was also worried over reports of the increasing rate of attacks on officers while on duty.

Speaking at the FRSC Zone RS2 Fourth Quarter 2019 Retreat on “Building Capacity towards Effective Implementation of Operation Zero Tolerance”, Obayemi told commanding officers of the establishment to expose bad eggs in the company.

Obayemi, an Assistant Corps Marshal, said that exposing bad people in the FRSC was crucial for the company to move forward and achieve its set goals.

Making remarks on crime and criminality involving staff of the company, Obayemi, pleaded with officers to redeem the image of the FRSC, noting that no corrupt officer should be shielded.


Almond Productions promotes customer satisfaction

by Nike Popoola

Almond Productions Limited, promoters of the annual Insurance Consumers’ Forum, says it is committed to ensuring a platform for operators and the insuring public to promote better customer experience in the insurance industry.

A statement by the Chief Executive Officer, Almond Productions Limited, Faith Ughwode, said the ICF which started in 2013, provided a robust platform for interaction between insurance practitioners and the insuring public on issues that bothered on excellent customer service delivery.

Following the success of previous editions, she said it was ready for the 2019 edition that would hold in November in Lagos, with the theme, “Creating and sustaining positive customers experience key to insurance growth in Nigeria.”

The forum this year would be chaired by the Managing Director, WJE Integrated Resources Ltd, Mr GUS Wiggle,the firm said

She explained that the grand finale of the forum this year would be the 2019 Insurance Industry and Consumers Nite, which would take place in the evening of the same day.

“The Insurance Industry and Consumers Nite is a social platform aimed at demystifying the insurance industry and connecting with the entertainment industry to create awareness about the importance and benefits of insurance in a fun and relaxed atmosphere,” she stated.

Ughwode said the forum was bigger and better this year because of the scope of participants who were drawn from trade groups in the formal and informal sectors, federal and state government agencies and parastatals, officers from the various law enforcement agencies who had dealings with the enforcement of insurance in Nigeria.

Enforcing Compulsory Insurance


Courtesy: Leadership Newspapers

Insurance industry is losing a potential N1 trillion annually from low adoption of insurance by Nigerians, LEADERSHIP findings reveal.

And to recoup this money would demand effective enforcement of the five compulsory insurances in the country.

Market analysts believe insurance sector is capable of generating about N30 billion premium from each state of the federation if States can enforce , at least , the five compulsory Insurances, with the industry expected to gain about N1.1 trillion from such enforcement.

Moreover, while the private sector seems to fair better in insurance adoption than the public sector, market observers are calling for improved enforcement from regulatory and enforcement agencies to deepen insurance penetration in the country.

The five compulsory insurances are; Motor Vehicle (Third Party) Liability Insurance, Builders Liability Insurance (Buildings under construction), Occupiers Liability Insurance on Public Building, Healthcare Professional Liability Insurance and Group Life.

Challenges Facing Enforcement Of These Insurances

The current Insurance Act 2003, is so obsolete that insurance operators now resort to persuasion rather than compulsion for people to subscribe to insurance products and services, even as the legislations are not only weak but sometimes difficult to enforce.

A product that every citizen ought to have at least one, is now becoming a situation whereby you find maybe, two in every 1000 Nigerians being insured.

On the other hand, the industry’s regulator, that is, the National Insurance Commission(NAICOM) which ought to be the vanguard in ensuring implementation of the already existing insurances has its powers limited by the current guideline and the law enforcement agents could do barely nothing, while some of them have been compromised, even as some of these agencies are expecting funding from the insurance industry to enforce certain insurances.

The Managing Director/CEO, Blue Pearl Konsult Limited, Chief Chris Obi, while speaking at a forum in Lagos recently said, the situation of our laws, especially in insurance, has been stagnant for too long that both insurers and the insured do not feel fully protected.

‘Even the available laws are poorly enforced, so that there are no consequences for breaking insurance laws, especially by insurers. Rather than deepen insurance, people are scared and confined to only the needful,’ he pointed out.

Speaking at an event in Abuja recently, Principal Consultant, Mike O. Onyeka & Associates, Mr. Sam Onyeka, noted that he is particularly worried by the challenge posed by legal framework. By nature, he said, the extant legal framework for insurance business, the Insurance Act 2003 is prescriptive, meaning that the law does not allow the regulator to be innovative or make any changes without reference to the National Assembly.

The prescriptive legal framework, he stressed, is the main reason for low insurance penetration and sectorial growth in the country, stating that the challenge must be addressed with all the capacities the industry can muster.

Moreover, another challenge here is that Insurance Law is an Executive Law, which cannot be effective in States until it is domesticated in the laws through the State House of Assemblies.

Although, NAICOM has make moves to persuade States in this regards, Lagos and Ogun States have so far domesticated some insurances in their states, while there are moves by Gombe and Kaduna States to do the same.

With such domestication, it was learnt that government can now deploy the State apparatus to enforce the five compulsory insurances in the adopting states.

According to the Commissioner for Insurance, Alhaji Mohammed Kari, such domestication will allow government to deploy the state apparatus to enforce the five compulsory insurances in the adopting states.

State agencies such as; Environmental Sanitisation board, Revenue Generation Board, Fire Brigade, among others, he said, would be used to enforce Builders’ Liability Insurance, while the Federal Road Safety Corps(FRSC) and the States’ Vehicle Inspection Offices(VIOs), on the other hand, would be used to enforce Motor Insurance policies.

Initially, the the Federal Fire Services(FFS) and NAICOM had signed an agreement to use Fire Brigade in each state of the federation to enforce Builder’s Liability Insurance.

The aim is to seal buildings, filling stations, shops, among others, for non-insurance of those buildings, while the owners of such building would be sanctioned.

To make this enforcement effective, insurance companies are contributing to a pool to financially assist the Fire Service carry out their civic responsibilities.

However, since most states have yet to domesticate insurance law, it is becoming difficult to enforce.
Experts believe the reason for non-insurance of building under construction in the country was low enforcement.

The former Managing Director, Anchor Insurance Company Limited, Mr. Mayowa Adeduro, said, since insurance is in the subsidiary list in the country, insurance laws must be domesticated by states to make them effective, of which virtually all the states are yet to do.

Adeduro, who is now the Acting Managing Director, Law Union and Rock Insurance PLC, said: ‘The problem is that insurance is in the subsidiary list in the country and in that regard, it’s within the power of the Federal and the States to implement it. When Federal cannot force a state to implement a law, it means the state itself has to pass similar law by domesticating the Federal law in their own state so that they can implement. I think that is where we are having a major challenge.

‘But we will get to a level where we will be able to encourage all the states to pass semblance of Insurance Act in their various states. Lagos is taking the lead in this regard because they even have a Builders Liability Insurance domesticated in the state law.’

Enforcement of insurance laws of buildings, he said, should ordinarily be the work of the Fire Service, but that the agency is incapacitated by fund and manpower to do this.

‘Ideally, Federal Fire Service should be the one to implement insurance of buildings by going to public building and see that they have certificate of insurance. But they are hampered with lack of resources and amenities to do that,’ he pointed out.

He said insurance companies are collaborating with NAICOM to ensure that they allocate some fund to the fire service for prompt supervision of enforcement of building insurances.

He equally urged the remaining states, aside Lagos, to domesticate insurance laws, especially that of Builders Liability Insurance, saying, the rate at which buildings under construction are collapsing on a regular basis with lives lost and some injured, is a courtesy call on states to prosecute builders without the required insurance certificates.

‘Every state government suppose to have their own respective insurance laws embedded in their state laws because approval of a building is within the state parameter,’ he stressed.

Meanwhile, despite the influx of Okada into the country in the last few years, insurance companies have been unable to sell much of their products and services to these transporters as the owners refuse to buy insurance. Motorcycles and tricycles are covered under the Third Party Motor Insurance Act.

The reason for the continuous neglect of insurance cover by these transporters, findings show, is because the law enforcement agencies, such as; FRSC and Vehicle Inspection Officers (VIOs) are too lenient with motorcycle riders; they rather focus on vehicles for insurance enforcement.

With no enforcement, the riders do not care about having an insurance cover, especially as they are unaware of its benefits.

Regulatory Intervention In Group Life, Motor Insurances
Last year, insurance industry regulator issued a circular mandating operators to maintain the minimum rates on Third Party Motor Insurance and Group Life Insurance Coverage, a development that will increase the profit of underwriters in these lines of business.

This policy intervention is expected to earn the 27 Life insurance firms in the country about N135 billion premium income from group life insurance policy in the 2019 financial year.

NAICOM had earlier last year announced a new rate for group life insurance policy, which was a 300 per cent increase to the rate being charged in the market then.

Before then, most of the life offices in the country, LEADERSHIP learnt, were struggling for survival as the rate they were charging was not commensurate with the liabilities there-in, hence, shortchanging themselves, in a policy rate competition among Life operators struggling for the same businesses.

However, with the intervention of NAICOM and its determination to enforce this rate, Life operators are now heaving a sigh of relief, expecting things to change for the better starting from their 2018 financial year.

The insurance industry regulator had, in January 2018, mandated life insurers to comply with group life rate put at 6-8 per cent per mile, which was 300 per cent higher than the market rate.

And since life insurers generated a sum of N44.5 billion premium income from group life business in their 2017 financial year, market analysts expect the Life arm of the insurance industry to rake in N135 billion premium income, which is a 300 percentage growth, from group life in their 2019 financial accounts when the rate must have fully taken effect.

Speaking on this development, Group Managing Director, Cornerstone Insurance PLC, Mr. Ganiyu Musa, stressed that the single positive regulatory intervention that has had the most positive impact on the industry, is appropriate pricing of group life insurance cover and Motor insurance.

According to him, ‘the industry is going to benefit a lot in terms of improved premium growth if the right premium is charged on cover. Price rate competition is a major challenge in insurance industry and that is why I applaud the enforcement of ratings on group life and third party and that, to a large effect, will increase the premium income of the industry in the current year.’

With 6 per mile rate charged on group life, he said, this represents 200 to 300 per cent increase on the average rate being charged in insurance market, for the same level of exposure. To be able to more than double your price, for the same level of exposure, he stressed, can only be very good for the margin of the industry.

Explaining further, he said: ‘Mille is one thousand, so the mile is; for every 1000 of exposure, you charge a price of N6. So, it’s 0.6 per cent, which is 6 per mile.’

Before the intervention, he said, life insurance pricing has nosedived to unsustainable rate of about 1.5 to 2 per mile, and that some life insurance firms were nearing distress, stating that, it was a very timely intervention from the regulator to have insisted on the appropriate pricing.

Moreover, the regulator insisted that insurers must charged a minimum of N5,000 for Third Party Motor insurance coverage.

The Way Forward
Earlier, the Executive Secretary/CEO, Nigerian Council of Registered Insurance Brokers(NCRIB), Mr. Fatai Adegbenro, has charged federal, states and local governments to lead by example by insuring all their assets, including public building, to increase insurance penetration and profitability.

Corp Marshal, Federal Road Safety Corps(FRSC), Mr. Boboye Oyeyemi, said increasing insurance patronage, requires a joint commitment to a public-private partnership process that combines the development of a conducive enabling environment, the building of strong public institutions and programme, and a local private sector that has the capital and knowledge to successfully embed road safety in insurance products.



Who is NAICOM ?

NAICOM stands for National Insurance Commission

The National Insurance Commission (NAICOM) was established in 1997 by the National Insurance Commission Act 1997 with responsibility for ensuring the effective administration, supervision, regulation and control of insurance business in Nigeria and protection of insurance policyholders, beneficiaries and third parties to insurance contracts.

The Commissioner For Insurance

The Commissioner for Insurance is statutorily the Chief Executive of the Commission and is responsible for the execution of the policies of the Commission as formulated by the Board and the day-to-day administration of the Commission. His tenure is for a period of 4 years in the first instance and may be reappointed for a further 4 years and no more.

Operational Management

The Commission operates under three (3) different Divisions namely: Commissioner For Insurance’s Division, Technical Division and, the Finance & Administration Division. Each Division is headed by the Executive Management. Under the CFI’ Division are: Legal and Board Secretariat; Corporate Affairs; Audit; Procurement; Information Technology; Research, Statistics and Corporate Strategy directorate. Under the Technical Division headed by the DCT are: Inspectorate Directorate; Authorization & Policy Directorate, Supervision Directorate; Enforcement & Compliance Unit and, Complaint Bureau Unit. The Finance and Administration Division headed by the DCF&A comprises of Finance & Accounts; Administration & Human Resources and Servicom Unit. Directors who head the various functional directorates of the Commission are formally appointed following a rigorous selection process. The Commissioner delegates various powers and functions to directors and staff reporting to him, to ensure that the Commission’s business is carried out efficiently and effectively. Delegations are reviewed regularly and delegates are expected to act in accordance with policies and procedures approved by the Commission.

Executive Oversight

The Commissioner and the two Deputy Commissioners set priorities, appoints and evaluates the performance of the directors, and approves delegations, budgets and business plans for each directorate. Through day-to-day contact with executive management and staff, and through written reports, the Commissioner stays informed about operational performance, finance, human resources, information technology and all other matters.

Decision Making Process

A Top Management Committee (TMC) meeting is held every second Wednesday of each month. Membership of the TMC includes the Commissioner, his two Deputy Commissioners and all Directors who are heads of the six Directorates. Other members are the Legal adviser and Heads of Enforcement & Compliance, Audit and Corporate Affairs Units.

RIFAN Is Born!

From left: Manager Partner, Carmel & Associates, Hon Lawrence Dafiode; National Chairman, Retail Insured Family Association of Nigeria, Akin Bello and Managing Director, Universal Insurance Plc, Ben Ujoatuonu at the event in Abuja.

What is RIFAN?

Retail Insured Family Association of Nigeria (RIFAN) is a non-profit
organisation bringing together an association of insuring public in Nigeria
with the primary objective of enhancing insurance growth in Nigeria.

Our mission is to be a trustworthy and useful information resource and an
effective voice for consumers of all types of insurance in all 36 states of
Nigeria and the Federal Capital Territory.

RIFAN was founded by a group of technocrats of high integrity which
includes lawyers, insurance professionals, financial planners, Security
Experts, construction experts, and technology experts. No insurance
companies underwrite or fund our programs.

Our members benefit tremendously from this association as they now
have a voice through which they can ensure that their insurance claims
are attended to expeditiously and are settled within the shortest possible
time frame.
The RIFAN Portal is designed to deploy cutting edge technology and
transparency in the purchase and management of insurance products and
thereby creating wealth for the nation through renewed confidence in the
purchase of insurance in Nigeria.


Insurers Must Rebuild Confidence

A top leadership expert has urged brokers to invest in confidence-building, saying a lack of self-assurance often holds professionals back from reaching their full potential.

“Very few people succeed in business without a degree of confidence,” says Festus Onwe, a prominent expert in the Insurance Industry and Director ICT, RIFAN.

“Confidence helps us maximise our potential,” he continues. “Without it, we can get the job done and be very competent in doing so but with it, we set our bar higher, believe more things are possible, we can have more impact and be more successful.”

According to Festus, confidence is particularly important when it comes to moving into more senior roles and professionals suffering from insecurity will often find themselves overlooked for a promotion.

“Often confidence gives you the ability to first put your hand up for that more senior role and then be successful at nailing the selection process,” he tells RIFAN News.

“Without it, you may have all the competence and skills required to do the job but just never feel ready to go for it,” he continues. “Without confidence, you can give up too easily, refuse to believe an opportunity is possible and, therefore, make limiting decisions about what you do and how you do it.”

Of course, Festus – who has works with Anchor Insurance, a top corporate insurance giants acknowledges that everyone goes through periods where their confidence level dips.

“This can happen whether you are just entering your professional life, or you are highly experienced,” he tells RIFAN News. “No-one is immune to these bouts of insecurity at work.”

While fluctuating levels of confidence can be expected, Festus says it’s a complete myth that confidence is a personality trait that some people just naturally possess.

“Often people think of confidence as something that the lucky few are born with and the rest are left wishing for,” says Festus. “This simply is not true.”

Instead, Festus insists that confidence is learnable and outlines four key areas that brokers should focus on in order to build confidence for sustainable success.

  1. Show up as the real you and the best version of you
  2. Stand up for yourself, your team, your values and your point of view
  3. Speak up and have a voice and be able to influence
  4. Step up your performance and your impact

“With consistent effort, and the courage to take a risk, we can gradually expand our confidence and, with it, our capacity to build more of it,” he says.

However, as most people are aware, there is a fine line between confidence and cockiness – stray too far and it’s unlikely that clients will appreciate the unnecessary bravado. So, how can brokers be sure they don’t cross that line?

“Having the ability to ‘show up’ with real confidence means you know yourself, you can be yourself and you show up as the best version of yourself,” says Festus. “Real confidence is about the ability to be authentic and vulnerable – not about bravado and cockiness. This is work that requires a good level of self-awareness and people that you trust giving you feedback along the way.”

Festus also says it’s important that brokers regularly reflect on what is most important to them – their values, purpose and beliefs.

“Reflect on the decisions you are making and whether your behaviour is in line with your values,” he says. “And finally, what impact are you having on those around you, and what feedback have you received?”


Insurance, a dividend of democracy —Ationu

The Executive Director, Business Development, UBA Metropolitan Life Insurance, Mr. Henry Ationu, has described insurance as a dividend of democracy.

According to a statement obtained on Sunday, he said this last week in Kaduna, at the official presentation of benefit cheques by the Kaduna State Governor, Mallam Nasir El-Rufai, to the families of the deceased Zaria bomb blast of last year.

“Insurance, especially life insurance, can be used as a fulcrum for dividend of democracy,” he stated.

The firm said the governor gave out a total of about N30m to 24 beneficiaries, at a ceremony, which took place at the Gvernment House, Kaduna.

Ationu commiserated with the deceased families and commended the governor for putting in place the insurance scheme to protect the people of Kaduna State.

He stated that one of the primary responsibilities of governance was to protect lives and property of its citizens.

He noted that insurance especially life insurance can be used as a fulcrum for dividend of democracy.

Ationu advised that other state governors should emulate the positive step taken by the Kaduna State Government.

“UBA Metropolitan Life Insurance is a specialist life insurance company reputed for prompt claims payment, good corporate governance, professionalism, actuarial expertise and technical knowhow,” the statement said.

According to the statement, the company has developed unique products for the Nigerian market, using comprehensive but flexible risk-management skills to ensure that issues affecting life insurance in Nigeria are managed to protect the interests of policyholders and other stakeholders.