Insurance companies will eventually pay about N20 billion in compensations to losses recorded at the October 2020 #EndSARS protests.
Chairman of the Nigeria Insurance Association (NIA), Mr Ganiyu Musa, said on Wednesday in Lagos that the companies had paid claims totalling N9 billion already.
NIA said in a report issued on Monday that the insurance companies settled claims on 718 cases of vandalism, 93 cases of looting, 113 cases of theft, and 136 cases of loss of cash.
The report also stated that 99 claims were settled on malicious damage; eight on business interruptions, 455 on burglary and 912 cases were settled on fire and burnt sites in the aftermath of the #EndSARS protest.
“Insurance companies have paid more than N9 billion so far as at the last count, but this is certainly not all as we still have quite a lot of claims that are going through processes of documentation.
“These claims are yet to be settled because the claimants have not provided sufficient documentation to support their claims,’’ Musa said.
He stressed that by the time claimants submit all the necessary documentation, the industry would be settling claims of about N20 billion.
Musa, managing director of one of the insurance companies, said estimated economic loss to the protest was more than N200 billion but not all the losses were insured.
He stated that all insurance companies in the NIA had risen to the challenge to settle all valid claims and assured that all outstanding valid claims of the #EndSARS protests would be paid.
The NIA chairman noted that the #EndSARS incident was an eye opener to all Nigerians that bad things happen to good people and the unexpected happens once in a while; hence the need for insurance.
“Nobody ever thought that something like the #EndSARS protest would happen and resulting in so much economic damage.
“The losses were unexpected, but that is the reason why insurance exists.
“Those who had valid insurance cover on their property will now understand the value of insurance as an instrument to restore you in case the unexpected happens,’’ Musa stressed.
According to him, if all the lives and properties damaged were insured, the insurance companies would have been able to pay all the claims.
Musa explained that this would have been so, because premiums would have been paid and the insurance companies would have accumulated sufficient reserve funds over time to be able to pay the claims.
The NIA scribe charged governments at all levels to ensure that all their assets, physical and human, are properly covered by relevant insurances.
Musa urged government to also provide an enabling environment for insurance business to thrive.