In a move to tackle pressing issues within the aviation and insurance sectors, the federal government has announced plans to convene a stakeholders meeting involving key players from both industries. This initiative, aimed at fostering collaboration and resolving critical operational challenges, was revealed by the Minister of Aviation and Aerospace Development, Festus Keyamo, during a recent meeting with the Commissioner for Insurance, Olusegun Ayo Omosehin, in Abuja.
The meeting, held at the Minister’s office, was centered on establishing a platform where aviation and insurance operators can discuss and address concerns related to insurance policies, regulations, and risk management practices.
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The Minister emphasized the importance of such collaboration, stating, “Based on the clarifications provided by the Commissioner for Insurance, I would like to convene a stakeholders meeting involving the Commission, airline operators, and insurance operators to reach an agreeable position on insurance matters for all parties involved.”
The forthcoming stakeholders meeting is expected to serve as a structured forum for discussing issues such as aviation insurance premiums, the reinsurance of aircraft operating in Nigeria, and the adherence to both local and international insurance regulations. It will also address the challenges faced by the aviation sector, particularly in light of recent global economic uncertainties that have impacted insurance coverage.
The decision to hold this meeting aligns with the federal government’s broader efforts to ensure that Nigeria’s aviation industry remains competitive in the global market while simultaneously strengthening the domestic insurance sector. Both Minister Keyamo and Commissioner Omosehin agreed that such interactions are vital for enhancing Nigeria’s international image, improving the credibility of the country’s aviation and insurance sectors, and advocating for necessary legal reforms.
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During the meeting, Commissioner Omosehin, who also serves as the Chief Executive of the National Insurance Commission (NAICOM), briefed the Minister on the intricacies of aviation insurance and reinsurance under existing laws. He highlighted the importance of local content provisions within the insurance sector, particularly for the aviation industry, and discussed global risk-sharing practices.
The Commissioner stressed the need to develop local capacity and expertise in aviation insurance, noting that this would help reduce capital flight and contribute to the growth of Nigeria’s Gross Domestic Product (GDP). By retaining more insurance business within the country, Nigeria would be better equipped to manage its own risks, rather than relying heavily on foreign reinsurers, which has historically led to significant capital outflow.
Both officials reiterated their commitment to ensuring that the outcomes of the stakeholders’ meeting align with the federal government’s goals of enhancing the aviation and insurance sectors, promoting local content, and fostering economic growth.
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The upcoming meeting will bring together representatives from NAICOM, major airline operators, insurance providers, regulators, and other relevant stakeholders. Together, they will work towards developing solutions that promote the long-term sustainability and growth of Nigeria’s aviation sector.
This initiative is viewed as a significant step towards creating a more efficient, robust, and competitive aviation industry in Nigeria, contributing to the nation’s overall economic development.
