NAICOM TASKS NIA ON PROMPT CLAIMS, DIGITAL INNOVATION

The National Insurance Commission (NAICOM) has urged the Nigeria Insurers Association (NIA) to ensure prompt payment of claims and accelerate digital innovation to restore public confidence in the insurance industry.

NAICOM Director General, Mr. Sunday Thomas, made the call on Friday during the NIA’s annual general meeting in Lagos. He emphasised that timely claims settlement is fundamental to the credibility of the insurance business and the protection of policyholders.

“Insurance is built on trust. Delayed or denied claims erode that trust. The NIA must work with its members to ensure claims are paid promptly and fairly,” Thomas stated.

The regulator also challenged the association to drive digital transformation across the industry, including the adoption of Insurtech solutions, online policy issuance, and digital claims processing. He noted that embracing technology will improve efficiency, reduce costs, and expand insurance penetration in Nigeria.

The President of the NIA, Mr. Ganiyu Musa, assured the commission of the association’s commitment to addressing the issues raised. He said member companies are working on improving claims turnaround time and investing in digital platforms to enhance service delivery.

The meeting also discussed the proposed increase in minimum capital requirements for insurance companies and the need for stronger collaboration between the regulator and operators to grow the industry.

Insurance industry analysts believe that prompt claims payment and digital innovation are critical to increasing the contribution of the insurance sector to Nigeria’s GDP. The current low penetration rate is largely attributed to poor public perception and limited use of technology.

NAICOM has promised to continue monitoring the performance of insurance companies and enforce compliance with regulatory standards. The commission also urged operators to prioritise customer education and product innovation to make insurance more accessible and relevant to Nigerians.