Business

Lagos state implements compulsory insurance

Published

9 years ago

September 5, 2017

By Chioma Obinagwam

In line with its resolve to mitigate risks resulting from violation of insurance regulations in various sectors of the state, the Lagos State has constituted an enforcement team to tackle abuses by individuals and corporate bodies engaged in environmental and related activities within the state.

This disclosure was made by Head of Retail Sales at AIICO Insurance, Taofik Ayeni, at a training organised for members of the Capital Market Correspondents Association of Nigeria, CAMCAN, in Lagos at the weekend.

Ayeni noted that in achieving the objective, the state, henceforth, demands effective compliance of the Compulsory Insurance Scheme (CIS) in its territory.

Ayeni, who spoke on “Safety, Risk and Financial Management” with emphasis on Insurance, pointed out that business activities globally, had become more complex in

recent times.

He said the development posed great challenge to financial market reporters who are expected to show demonstrable understanding of the beat they handle.

He disclosed that the CIS enforcement team, comprising insurance practitioners and experts in other fields, would take effective steps to combat increasing

incidents of building collapse in Lagos.

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According to him, there is high level of abuse and compromise among those involved in environment-related activities as they overlook policy guidelines meant to guarantee the safety of life and property.

“Lagos State Government has set up a team of insurance practitioners and other professionals to enforce Occupiers’ Liability Insurance under the Compulsory Insurance scheme” Ayeni said.

Compulsory insurance, consisting of five products, refers to a class of Insurance made compulsory by law, frequently with the objective of providing protection to

third parties and the general public. It was introduced in 2003.

The CIS five products are the Third Party Motor Insurance; Builders Liability Insurance; Occupiers’ Liability Insurance; Health Care Professional Indemnity (National Health Insurance); and Group Life Insurance (under Pension Reform).