NAICOM Suspends Insurance Industry Recapitalisation

The National Insurance Commission (NAICOM) has suspended the ongoing Insurance industry’s recapitalisation following a court order on the initiative.

NAICOM’s spokesman Rasaaq Salami, reacting to the order said: “You are aware that the issue is in court and there is an interim order of the Court. NAICOM being a responsible and law abiding organisation will respect the order of the court.”

Salami also noted that NAICOM had responded to the letter written by the Nigerian Insurers Association, NIA where the Association sought clearifications on uncertainties surrounding the ongoing recapitalisation.

The NIA had in a letter entitled: Segmentstion of Minimum Paid Up Share Capital of Insurance Companies in Nigeria: Appeal For Waiver of December 2020 Milestone, signed by the Director-General NIA, Mrs. Yetunde Ilori, implored NAICOM to respond to its request for waiver of the December 2020 deadline for first phase of the recapitalisation exercise.

The Association posited that the continued silence by the commission on its position is of serious concern to operators. “This is underscored by a fast-approaching deadline and everybody is being kept in a suspense, which is not helping the market at the moment,” it said.

The NIA had asked NAICOM to kindly respond to its letter and provide a position on other matters to properly guide the operators and all other stakeholders, thereby putting an end to unintended speculations and uncertainties surrounding the ongoing recapitalisation exercise.