The National Insurance Commission (NAICOM) on Friday said that the enforcement of ‘No Premium, No Cover’ policy impacted positively in Gross Premium Income (GPI) of Insurance companies in 2013. The “No Premium, No Cover” policy was introduced by NAICOM to ensure that all insurance policies are backed by payment for premium.
Mr Rasaq Salami, NAICOM Director, Corporate Affairs, told the News Agency of Nigeria (NAN) in Lagos that the insurance companies’ un-audited quarterly reports submitted to the commission showed great improvements.
“The exact figure of the industry GPI will be released after the accounts have been audited. The quarterly reports helped the commission to assess how each of the companies is doing and when to intervene if any company is having problems.
“So far, the commission has not sanctioned any company for defaulting in the enforcement of “No Premium, No Cover” policy.
“The companies know the rules and NAICOM expects them to comply,” he said.
Rasaq said that there had not been any unpaid premium in the account books submitted to NAICOM by insurance companies since 2012. He advised that no company should tell NAICOM that it did not receive premium payment for any policy whenever the issue of claim payment came up. Rasaq stressed there would be no claims for concerned workers once a group life policy was not paid for. NAICOM started the enforcement of ‘No Premium, No Cover’ policy on Jan. 1, 2013.
