NAICOM guidelines on cyber risk insurance, annuity, market conduct underway
The National Insurance Commission, NAICOM, will soon release supplementary guidelines on annuity to forestall nonpayment of pension benefits to retirees.
Vice Chairman, Publicity Sub-Committee of the Insurers Committee who is also Managing Director of NSIA Insurance, Mr. Moruf Apampa, disclosed this at a media briefing yesterday after the Insurers Committee meeting in Lagos.
Apampa also revealed that NAICOM will soon introduce market guidelines as well as cyber risk guidelines in the sector to support the initiative of the government in improving the economy.
Annuity is a type of pension paid to a retiree for life.
Apampa further said that the move is to prevent a situation where annuity retirees are owed pension for months.
He stated: “At our Insurers Committee meeting today, NAICOM disclosed that they have actually brought out a supplementary guideline on the business of annuity.
“We are all aware of what happened in the last couple of months where annuitants were owed for months. The supplementary guideline will forestall that as well as build further confidence in the market. So NAICOM is coming up with additional guidelines to ensure that annuitants are adequately protected.
“NAICOM will take proactive measures to ensure that no company goes under or annuitants are not paid their normal allowance every month. So this is being guided against.
“NAICOM is set to introduce market guidelines and even tech guidelines. We are all aware that so many tech companies are around now, so there’s need to work with them and see how we can streamline the processes around them. So in this regard, cyber risk insurance guideline will be coming out very soon, and it’s being finalised”.
On claims payment in the industry, Apampa said: “The Commissioner for Insurance said that he has seen significant improvement in claims payments, and he commended the industry operators. He however added that we must improve on this.
“There’s a circular that has been sent out on settlement of third-party claims, and NAICOM wants to see serious improvement on that, because once we improve on our claims settlement, especially on third-party, we will see the ripple effect in other areas as well too.”
Source: Vanguard
