Emerging amendments of the 2003 Insurance Act to force interest on delayed claims
If the ongoing amendments of the 2003 Insurance Act currently at the National Assembly scale through with new inputs, Insurance firms that delay in payment of genuine claims may have to pay such claims with additional interests.
Currently, the draft for amendment of the 2003 Insurance Act presented to the National Assembly by the insurance Industry’s bill amendment committee is receiving legislative attention.
Explaining on the bill at a quarterly press briefing organised by the council in Lagos, the President of the Nigerian Council of Registered Insurance Brokers (NCRIB), Mr. Sola Tinubu, said the ministry of finance will act on it and before sending it to the ministry of justice for onward presentation to the executive before it finally gets to the law national assembly. He said though the ministry of finance has promised that by the time the amended bill comes out, the industry would have nothing less than a consolidated bill.
The Managing Director of Scib Insurance Brokers, explained that the enactment was aimed at facilitating timely payment of genuine claims among insurance underwriters. He said that the policies that will enhance the growth and development of the insurance sector are enshrined in the draft bill.
According to him, the Act review had been on the floor of the National Assembly for eight years and has stalled actions that would have facilitated the growth and development of the industry.
