…Says initiative will increase compliance, ensuring road safety for road users
By Bakare Olatunde
The Nigerian Insurers Association (NIA) has applauded the Nigeria Police Force (NPF) for its plans for the nationwide enforcement of the Third-Party Motor Insurance Policy, effective February 1, 2025.
The association said the plan aligns with the provisions of Section 68 of the Insurance Act 2003. It is a significant step towards strengthening compliance, ensuring road safety, and protecting motorists and third parties on Nigerian roads.
Reacting to the announcement of the Inspector General of Police (IGP) yesterday, the Chairman of the NIA. Kunle Ahmed, welcomes the development, noting that it is a timely and commendable action by the Nigeria Police Force.
He stressed the importance of enforcing the policy to improve risk management, industry innovation, and fostering economic growth.
According to him, “The enforcement of third-party motor insurance is not only a compliance issue: it is a vital strategy for ensuring financial protection for victims of road accidents and the car owners.
The third-party insurance policy also provides compensation for property damage and medical care for injured third parties, which further contributes to building confidence in the insurance sector.
“The NIA recognises the potential of the enforcement to drive positive change in the insurance industry and the broader economy. With millions of vehicles on Nigerian roads, this move is expected to increase the number of genuinely insured vehicles, reduce the prevalence of fake insurance policies, and create a more robust safety net for motorists and road users alike”, he remarked.
Ahmed explained that the initiative also aligns with the association’s agenda to prioritise increasing awareness of the benefits of insurance, fostering innovation within the industry, and enhancing partnerships with key stakeholders to strengthen Nigeria’s insurance ecosystem.
He remarked, “As the enforcement takes effect, I want to assure the insuring public and other stakeholders that the association members are fully prepared to provide seamless access to third-party motor insurance policies through authorised channels, ensuring that every Nigerian motorist can protect their risk and comply with the law.
We will work closely with our members to ensure efficient service delivery, innovative products, and improved customer experiences”.
The NIA boss described the enforcement as a game-changer for the industry, as it will encourage greater public trust in insurance, reduce uninsured risks, and stimulate economic activity.
The NIA has also set up initiatives to collaborate with the National Insurance Commission (NAICOM) to increase public awareness and sensitisation efforts to educate Nigerians about the benefits of genuine motor insurance policies.
Speaking to The Guardian yesterday along the Ikutun to Oshodi axis of the Lagos State, a third-party insurance policyholder with one of the insurance firms, Olayinka Adedipe, commended the nationwide enforcement plans by the Nigerian Police on the third-party insurance drive and urged Nigerian to take full advantage of the opportunity by obtaining their third-party motor insurance policies through licensed and authorised insurers.
With this, he said we can build a safer, more accountable, and better-protected road network for all Nigerians.
