The recent upward review of third- party motor Insurance by the National Insurance Commission (NAICOM) has set tongues wagging with most stakeholders insisting that its timing was quite inappropriate to policy holders.
Many say that this might not be an auspicious time to increase a thing that is so germane to the survival of vehicle owners on the road considering the fact that many things pertaining to vehicle ownership and usage are being increased by government over time.
If NAICOM which is also a government agency is increasing motor insurance premium, it means it has no welfare consideration for Nigerians which runs contrary to section 14(2b), chapter 2 of 1999 constitution, laws of Federal Government of Nigeria (as altered) which states that the welfare of the people shall be the primary purpose of government.
This was the opinion of some Nigerians. NAICOM has in a circular \NAICOM/DPR/CIR/46/2022, dated December 22 2022, made this review giving insurance companies eight (10) days to start implementation, 1st January 2023.
The new increment is from N5000 to N15,000, while claims for motorists was raised to N3million in the event of an accident. Note that NAICOM circular also notified that buyers of comprehensive motor insurance shall not pay less than five per cent of the sum insured after all rebates and discounts.
