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Chuks Udo Okonta
Insurance operators have expressed misgivings over introduction of N100,000 advert processing fees by the National Insurance Commission (NAICOM).
The fee which was announced through a circular issued by the Commission took effect on April 1, 2022.
Some of the operators told Inspenonline that the fees would discouraged many companies from adverting even at a time the Commission has accused them of not doing more on awareness campaign.
They wondered if the fees would be refunded when the advert material failed the vetting process, stressing that the commission should evolve strategies that would enhance their operations, especially now that businesses in economy are not looking that good.
According to an operator, his company presently is working on seven advert materials, which would them amount to N700,000.
He noted that the firm would also seek approval from Adverting Practitioners Council of Nigeria (APCON) which cost N25,000 per a material.
NAICOM in a circular with reference number: NAICOM/CFI/CCMD/AAF/001, dated March 28, 2022, entitled: Advert Processing Fees, signed on behalf of the Commissioner for Insurance Sunday Thomas, by Head, Corporate Communications and Market Development, ‘Rasaaq ‘Salami and sent to all insurance companies, stated that in accordance with the provision of Section 74 of the Insurance Act 2003, which empowers it to review, vet and approve all advert of insurance and reinsurance companies prior to exposure, it has performed the role over the years deploying her lean resources in the process towards achieving the mandate.
NAICOM said in light of the foregoing, it hereby notifies all insurance and reinsurance companies that henceforth, an application processing fees of N100,000 only will now be charged on every advert request per copy.
The insurance industry regulator urged operators to take cognizance of the development effective April 1, 2022.
