E-Financial
NAICOM Compiles List of Insurance Firms Not Paying Claims
The National Insurance Commission, NAICOM is set to come hard on Insurance Companies with huge unsettled claims as the regulator frowns at such practice.
Already, the Agency has commenced profiling such companies with a view to determining the level of action against them.
Commissioner for Insurance Sunday Thomas who’s dropped the hint in Lagos noted that the times in which we are require more prudent management of resources in order to meet all stakeholders expectations including ensuring quality return on investments.
He said that the industry must shift focus to service delivery which will make companies to seek more reasons to settle client’s claims and less less reasons for repudiation of claims.
Thomas warned that the era of huge backlog of claims should no longer be associated with operating companies, revealing that the Commission is profiling companies with huge unsettled claims for necessary regulatory action.
The said that companies that are responsive to the plight of their clients in prompt settlement of claims would be encouraged to sustain the good business conduct.
Thomas who was addressing the 2020 Insurance Directors Conference, with the theme, “Insurance Industry Post Pandemic: The Pursuit for Survival and Growth” said the theme was carefully crafted to ensure that governing structure of insurance institutions take into cognisance the effect of the pandemic in making policies and strategies that will encourage survival and growth of the institutions post pandemic.
Thomas observed that the year 2020 has been a challenging one for all businesses including insurance, which has also provided opportunity to break into new areas of cover and service delivery in the insurance sector.
“Thus, a paradigm shift from the usual way of governance and doing business in our institutions has become inevitable. This shift has to start from the Boardrooms; the policy directions you will give will go a long way in ensuring sustainability and development of your various institutions.”
According to him, “the present challenges brought about by the pandemic in the economy in general and our industry in particular are enormous.
“Critical measures are therefore required of us that sit on top of the pyramid. It must be emphasised that the insurance sector require more urgent recovery post COVID – 19 to support the recovery and restoration of other businesses”.
He said , “Operators in the industry must strengthen their human and financial capital for effective participation in big ticket risks. It has been observed that the gains of domestication policy of the government as enshrine in the Nigeria Content Development Act 2010 is gradually loosing its meaning for the insurance sector.
More businesses especially in the oil and gas and the Aviation sectors are now been re insured abroad. Of more concern is the declining participation of life companies in the annuity business which is the emerging business for our industry.
These are the areas where the industry can impose itself on the economy through the control of funds for national development.”
The Commissioner, charged Operators in the Industry to invest handsomely in technology, because it is one of the key drivers for developing the market.
“The Institutions should be prepared to digitalise their processes, procedures and systems in order to make their operations seamless and real time. The Commission is investing heavily in automating its processes and expects nothing less from the insurance institutions.
An industry Information Technology Guideline has been issued for the operators and the Commission requires your support and cooperation for effective compliance.” he said.
He also emphasized on the need to invest massively in awareness campaign about insurance because there seem to be a consensus that public perception of insurance still remains very low largely due to lack of awareness by the public.
He also noted that the total lack of understanding of the business of insurance and the benefits that are offered is equally hurting the industry, and advised that the strategy must change as insurance institutions must make themselves visible in all geo – political zones in the country and must take marketing of insurance products to a higher level than the present.
He again pointed that the recent crises associated with #EndSARS protest which led to the destruction of lives and properties is indeed an eye opener and an opportunity for companies to engage in massive awareness programs on relevant insurance cover for lives and properties of individuals and all businesses.
“Innovation in our industry will differentiate companies in terms of meeting stakeholders expectation.
“As you may be aware, the Commission on its part has shifted its focus to market development for an inclusive development of insurance across all strata.
These initiatives are anchored on Innovation, Distribution and Efficient Service Delivery. We expect that insurance institutions will also formulate policies along these direction.
The Commission is committing huge resources for manpower development in the insurance sector in collaboration with relevant partners in order to bridge the gap currently existing in our system. Your support and cooperation is required in this regard for your institutions to benefit from this giant stride.
The programme includes the development of professional underwriters, Certified Actuarial Analysts and qualified Actuaries. The development of these professionals will no doubt define the growth trajectory of the business of insurance in Nigeria.”
Central Bank of Nigeria (CBN) has reportedly injected $150 million into the foreign exchange market at the beginning of the week to keep the naira safe under pressure.
With sustained forex market intervention, a slew of analysts have formed a consensus that the exchange rate would trade range-bound in the second quarter.
Last week, the Apex Bank sold $635 million to authorized dealer banks in FX market amidst efforts to strengthen liquidity levels in the market.
A potential slowdown in US dollar supply could trigger negative exchange rate movement, according to analysts.
Again, the naira faced another round of demand pressure in the official window as offshore investors continued to exit positions in naira assets.
To stem the negative impacts of unusually high demand for US dollars, the CBN intervened with a sale of $150 million at rates between $/₦1,593.20 and $/₦1,623. Throughout the session, the USD/NGN pair moved within a range of $/₦1,593.10 to $/₦1,630, AIICO Capital Limited reported.
Data from the CBN showed that gross external reserves fell to $38 billion in the absence of additional inflows and a slowdown in oil FX receipts.
In the global commodity market, oil prices fell on Monday despite some positive signals, including exemptions for electronics from U.S. tariffs and a sharp rebound in China’s March crude imports.
These factors were overshadowed by ongoing fears that the prolonged U.S.-China trade war could hurt global economic growth and weaken fuel demand. Brent crude dropped 42 cents, or 0.65%, to $64.34 a barrel, while U.S. West Texas Intermediate (WTI) crude slid 53 cents, or 0.9%, to $60.97.
Meanwhile, gold prices declined over 1% after reaching a new record earlier in the day.
Improved risk sentiment following the tariff exemptions on smartphones and computers contributed to the dip. Spot gold fell 1.1% to $3,200.11, while U.S. gold futures declined 0.9% to $3,216.20. #CBN Injects Additional $150m into FX Market to Safe Naira First Holdco Falls below N1 Trillion in Equities Market
Access Bank, a subsidiary of Nigeria’s Access Holdings Plc, has received final regulatory approvals to acquire 100 per cent shareholding of the National Bank of Kenya (NBK), marking a significant milestone in the lender’s strategic expansion across East Africa.
The Central Bank of Kenya (CBK) confirmed on Monday that it granted approval for the transaction on April 4, 2025, under Section 13(4) of the Banking Act.
In a coordinated move, Kenya’s Cabinet Secretary for the National Treasury and Economic Planning also gave the green light on April 10, 2025, pursuant to Section 9 of the same Act.
Access Bank is acquiring NBK through a full purchase of shares from KCB Group Plc, which has held complete ownership of the bank since 2019.
As part of the acquisition, selected assets and liabilities of NBK will be transferred to KCB Bank Kenya Limited, a wholly owned subsidiary of KCB Group.
The CBK and the Treasury have both approved this transfer as an integral component of the broader transaction.
According to CBK, the acquisition will be finalized upon the full completion of agreed terms between Access Bank and KCB Group. Once completed, Access Bank will officially own and operate NBK, positioning itself as a stronger competitor within Kenya’s dynamic financial services landscape.
The acquisition of NBK aligns with Access Bank’s long-term strategy to scale operations in East Africa and deepen its presence in Kenya, one of the continent’s most competitive banking markets.
The move is expected to enhance Access Bank’s capacity to deliver innovative digital and financial solutions to a broader customer base in the region.
The CBK welcomed the acquisition, stating that the transaction is consistent with its objective to promote the development of a sound, stable, and inclusive financial sector.
The regulator expressed confidence in Access Bank’s capability to ensure continuity of services at NBK while strengthening financial resilience in the market.
“The acquisition will enable Access Bank to leverage NBK’s infrastructure and customer base, thereby enhancing service delivery and financial inclusion in Kenya,” the CBK noted.
Access Bank’s expansion reflects a broader trend of cross-border banking consolidation in Africa, as regional financial institutions seek to build scale, diversify risk, and foster long-term growth across key markets.
Securities Exchange Commission (SEC) has charged all fintechs, cryptocurrency firms and exchanges to register with the commission. This is coming weeks after President Bola Tinubu assented the Investments and Securities Act 2024 into law, making its provisions officially enforceable.
Dr Emomotimi Agama, DG, SEC
“If you are not registered with the SEC, you are illegal,” Dr Emomotimi Agama, director general, SEC, said during a virtual engagement that held yesterday.
“Registration is the hallmark of regulation. If there is no registration, there is a violation. Hence, we all must educate ourselves and clear any doubt in the process of building a strong Fintech ecosystem.”
The desire to fast-track digital asset licensing and registration is slowly becoming a core mandate for Agama in 2025.
This turnaround is quite significant from 2021, when the rise of cryptocurrency was stalled by several bans, hurting the growth of the sector.
However, the SEC boss is determined to avoid sharp practices and safeguard investors from pump and dump schemes, ponzi schemes and volatile meme coins introduced by celebrities.
Last year, the commission warned the general public against meme coins introduced by African singer and songwriter, Davido.
For the digital asset providers seeking licensing who have not yet gotten a response, Agama noted that work has been happening underground.
“We have observed some significant issues which we need to take care of. Some of the new applications need a level 3 due diligence before getting a provisional license. It must have taken longer than necessary. However, what we are trying to do is to make sure that every gap is covered.”
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