NIIRA: NAICOM to cancel licence of insurer with more than six unpaid claims complaints

NAICOM logo

Kindly leave a comment and share

Chuks Udo Okonta

Any insurance company that has not less than five complaints of failure to pay claims promptly made against it which the National Insurance Commission (NAICOM) has received and verified risk cancellation of its licence, the Nigerian Insurance Industry Reform Act (NIIRA) 2025 has provided.

This is contained in Section 8 sub-section 1(m) under the cancellation of licence.

The NIIRA which was recently signed by President Bola Tinubu amongst other provisions said the licence of an insurer would also be cancelled if the insurer has failed to set up the special reserves as prescribed by the commission.

It noted that failure to maintain reserves as required and failure to satisfy the capital or solvency required as prescribed by the Commission are legal grounds to cancel an insurer licence.

Leave a Reply

Your email address will not be published. Required fields are marked *