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Chuks Udo Okonta
The National Insurance Commission (NAICOM) says the deadline for brokers to activate their lapsed licences, would be issued before the end of this month.
The Commission for Insurance, Mohammed Kari, said this in an interview with Inspenonline, adding that the window given to brokers to acquire new licences in their old names was for a short time.
He said the commission is coming up with reviewed guidelines on intermediaries like brokers, agents and distribution channels.
“The window given to the brokers with lapsed licences is not a perpetual window. It is just for a period. Already, the group of intermediaries have readjusted themselves. They now apply long before time. Most of them, now get their licences renewal by the expiring date. The issue of lapse is becoming a history.
“They have being abusing the little privilege given to them for a short time, but it is not indefinite, we would come up with a definite date, when we would stop activating lapsed licences. Because we are coming up with reviewed guidelines on intermediation generally, on the brokers, agents and other distribution channels. I hope we would get them out by the end of the month,” he said.
Recall, that in December 2015, NAICOM made public the names of 108 insurance brokers for their failure to meet the regulatory requirements and the erring firms had their names published in national dailies.
It was learnt that majority of the erring firms were sanctioned for violating certain provisions of the insurance law, such as; late submission of their returns to the regulatory body, while some did not even submit returns for several years, non-renewal of operating licence, among other offenses.
When their names were made public then, the commission said the affected firms would not be allowed to renew their operating licences, while those who are still interested to continue operating in insurance industry would be asked to apply for a fresh licence.
