The House of Representatives on Wednesday charged its Committee on Insurance and Actuarial Matters to conduct a forensic investigation into over N30 billion in unsettled insurance claims tied to the Nigeria Police Force, the Head of Service, and the Ministry of Defence.
- The House noted that the unsettled claims were a result of failures in actuarial valuation, gap analysis, and non-compliance with Section 57 of the Insurance Act, 2023, and Section 4, Subsection 5 of the Pension Reform Act, 2014, among others.
- The resolution of the House was a sequel to the adoption of a motion titled, “Breaches and Other Infractions of Some Federal Government Institutions on Insurance and Actuarial Matters Using Forensic Auditors,” moved by the member representing Gummi/Bukkuyum Federal Constituency of Zamfara State, Mr. Sulaiman Gumi.
- Speaking in favour of the motion, Gumi noted that while conventional insurance is struggling with outdated insurance laws, there is a dearth of professional loss adjusters and irregular payment of loss adjusters’ fees, non-remittance of premiums, especially to reinsurers, lack of innovation, and inconsistent government policies within the insurance industry.
- He also identified the failure to collaborate effectively with the Central Bank of Nigeria and the Assets Management Company of Nigeria to secure financial stability in the Nigerian economy and the cumbersome process of failure resolution and reimbursement of depositors.
