The President of Chartered Insurance Institute of Nigeria (CIIN), Mr Eddie Efekoha, has said that insurance professionals need to embrace creativity and work harder than ever before this year for the future of the industry.
Efekoha said this in his New Year message, it was imperative in view of the recapitalisation of the insurance and reinsurance companies, which is no longer an idea but a reality the industry has to embrace wholly.
“The year 2020 is an important year for the insurance industry, because it is a year in which we are mandated to put into practice all that we have preached as professionals.
“Recapitalisation of the insurance and reinsurance companies is no longer an idea but a reality and the industry has to embrace it wholly.
“Its advent calls for insurance professionals to embrace creativity and work harder than ever before for the future of this industry.
“It will not be an easy ride and all our resources will be stretched thin, however it is my belief that we will all profit from this exercise’’, he said.
Recall that National Insurance Commission (NAICOM) had on Monday announced an extension of the deadline for the recapitalisation of the Insurance and Reinsurance Companies, earlier fixed for June 30, 2020, to Dec. 31, 2020.
This was conveyed in a circular with reference No: NAICOM/DPR/CIR/25-03/2019/DECEMBER 30, 2019, signed by Mr Pius Agboola, Director, Policy, and Regulation.
Agboola said that the decision for the extension followed a review of the recapitalisation plans submitted by the operators and various levels of the compliance observed.
It also followed input from various engagements with relevant stakeholders.
NAICOM, in exercise of its statutory powers and regulatory functions, had on May 20, 2019 reviewed the minimum paid-up share capital requirement for all classes of insurers, i.e Insurance and Reinsurance companies, NAN reports.
The directive was with the exception of Takaful operators and Micro-insurance companies doing business in Nigeria.
Following the reviewed minimum capital requirement, the existing minimum paid-up capital share of Life Insurance business was reviewed and raised from N2 billion to N8 billion.
General Insurance business was raised from N3 billion to N10 billion, Composite business was raised from N5 billion to N18 billion and Reinsurance was raised from N10billion to 20 billion.
The new paid-up share capital requirement took immediate effect for new applications made to NAICOM by companies seeking to carry on insurance business in Nigeria.
On the performance of the institute, Efekoha commended NAICOM for supporting its programmes in 2019.
He enjoined professionals of the industry to embrace professionalism and uphold the Institute’s ethics and values in the course of their business dealings in the year 2020.
The CIIN president also urged trade bodies of the industry to stay committed to promoting the insurance industry’s agenda, as more could be achieved together.
Efekoha emphasised that membership of the institute was one of the major ways to get to the pinnacle of the insurance profession.
According to him, the Institute remains committed to offering value to its members, and more benefits will be unveiled soon.
Efekoha reminded the members that the theme of his leadership was focused on advancing insurance education and professionalism, which was consistent with the Institute’s mission to provide world class manpower.
On behalf of the Institute’s Governing Council, he appreciated members for their concerted efforts in moving the institute to greater heights as it wrapped up an eventful 2019 and focused on the year 2020.