Kindly leave a comment and share
Chuks Udo Okonta
As the enforcement of third party motor insurance by the Nigeria Police begins February 1, 2025, it is expected to fully activate pay N15,000 premium and claim up to N3 million contract that is between insurers and motorists.
With the enforcement, insurers should not just be happy, but also be ready for influx of claims by motorists.
While the enforcement would boost motor insurance premium generation, it would also increase claims payments.
The enforcement if properly executed is expected to address challenges of uninsured and counterfeiting of policies, hence paving way for purchase of genuine policies by motorists.
It is expected that most motorists driving uninsured vehicles, would be arrested and sanctioned by the Police, an act that would spur them to buy genuine policies and report without delay any risk on the vehicles that is associated with their policies.
With the enforcement, the era of low claims filing would be over, as motorists would seek value for their paid premium.
The enforcement which is presently being discussed at different platforms, has increased education on what third party motor insurance is, benefits and sanctions on violation.
With the ongoing education on the policy and enforcement ,motorists can now understand that with the payment of N15,000 premium, they can make claims to the tune of N3 million. A benefit, which they would never allow to slip off their hands.
While motorists are sensitized about the enforcement, insurance operators should also educate themselves on issues like increased fraudulent claims by unscrupulous individuals who would see means to take advantage of the development.
Insurers should also note that with the enforcement, the era of insurance without verification of insured vehicle should be over.
Just like the Police that would be on the road to ensure full enforcement, insurance operators should also deploy workable means to ensure they insure what they see and understand.
Insurance operators should also compliment the work of the Police by capturing all insured vehicles on the Nigerian Insurance Database (NIID) and payment all genuine claims promptly.
As a motorists, you should keep your motor policy safe and enjoy that genuine claims are reported to your insurer no matter how little the risk is provided the policy covers it.
