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Chuks Udo Okonta
The National Insurance Commission (NAICOM) has said its intensified regulatory activities pushed the settlement of reported claims to 84.8 per cent in the second quarter of this year.
NAICOM stated this in a document made available to Inspenonline, adding that the growth of the gross claims reported was 0.2 per cent during the quarter compared to the corresponding period of 2021.
It noted that the industry statistics for gross claims in Q2 of 2022 stood at N174.8 billion, representing 47.3 per cent of all premiums generated during
“This occasion reflects the professional underwriting capacity of the industry
as driven by the intensified regulatory activities of the Commission,” it posited.
It maintained that the net claims paid on the other hand stood at about N148.2 billion, signifying an 84.8 per cent of all gross claims reported during the period.
The insurance industry regulator posited that life insurance business recorded a near perfect point of 88.90 per cent claims settlement as against the reported claims
while non-life segment stood at 76.8 per cent.
The percentage of incurred claims as against reported mirror the market retention view during the period, it added, stressing that motor insurance retained its lead posting a claims settlement ratio of ninety-two per cent.
It said progress was however more noticeable in the Oil & Gas with an above 85.7 per cent of claims settlement ratio, an increase of some forty three points compared to its position of 42.8 per cent recorded in the corresponding period of 2021.
Miscellaneous insurance, it said also posted 61.9 per cent, higher than 44 per cent paid claims ratio, compared to its corresponding period of 2021.
NAICOM submitted that while general accident claims stood at 75 per cent; Fire, was 76.2 per cent and aviation & marine, 61.9 per cent.