NAICOM says extension of licences renewal will ease Insurance Brokers, Loss Adjusters operations

The National Insurance Commission (NAICOM), says the extension of renewal of licences of Insurance Brokers and Loss Adjusters to two years will ensure they transact their businesses with ease.

Mr Pius Agboola, the Director, Policy and Regulation, NAICOM said this in an interview with News Agency of Nigeria (NAN) in Kano on Tuesday.

Agboola spoke on the sidelines of the 2020 Seminar organised by the Commission for Journalists covering the Insurance sector.

NAN reports that NAICOM had on Dec. 30, 2019 extended the licensing renewal period for Insurance brokers and Loss Adjusters from one year to two years.

The two-year new licensing regime is expected to commence from April.

The Commission had in the past withdrawn the licences of some Brokers and Loss Adjusters due to their inability to meet the annual deadline for submission of documents for renewal.

Agboola said that the primary objective of the new policy was to key into the Federal Government’s policy of the Ease of Doing Business (Executive Order One).

“With this, the problem of coming to the Commission every year and the commencement of preparation almost six months after their last visit for renewal has been phased out.

“The renewal usually requires processing of data, documents such as Tax clearance, among others. The brokers and loss adjusters have also been complaining of the burden they have to go through.

“That is why we decided to address the problem by minimising the rate at which they have to come to the Commission.

“The new policy is good for them and also for NAICOM because of the capacity and man power required from us for the renewal,’’ he said.

According to him, the new policy will among others ensure proper monitoring and regulation of the Brokers and Loss Adjusters within the year.

Agboola said that part of the requirements as stipulated in the new policy was that Insurance companies submit their Annual Returns to the commission yearly.

He noted that they were also expected to pay their one per cent levy to the commission while the managing directors of the companies must be such that were fully available at work and not just an Ad-hoc staff. (NAN)