Insurance professionals have expressed unease regarding the Nigeria Police Force’s (NPF) initiative to establish an insurance company. The National Insurance Commission (NAICOM) has announced the commencement of the registration process for NPF Insurance Company Limited following an application from the NPF.
Practitioners from both underwriting and broking sectors voiced their reservations to Inspenonline, arguing that granting an operating license to the NPF, a regulatory body, could negatively impact the industry. They fear this could set a precedent, prompting other government agencies to seek licenses merely to enter the insurance business.
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It has been revealed that concerned stakeholders are currently engaging NAICOM to ensure the NPF’s request is handled appropriately. In a public statement, NAICOM confirmed that it is in the process of registering the company and has invited public objections or comments within 21 days of the announcement.
NPF Insurance Company Limited was incorporated on December 24, 2020, with its headquarters located at Insurance Building, Behind Louis Edet House, Force Headquarters, Area 11, Garki, Abuja, FCT.
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The company’s Managing Director/CEO is Oke Temitayo, and its board includes prominent figures such as Adenaike Olufemi Adebowale AIG (Rtd), Ekechukwu Mic, CP Sulaiman Muhammad, CSP Ameh Lydia, CSP Adedeji Adewole Jelius, Amore Olusola Emmanuel CP (Rtd), Rev Paul Odili Joshua, Balogun Olayinka Abayomi, Akinwunmi Tunde Olufemi, and Musa Ba’aba Ibrahim.
If approved by NAICOM, the Nigeria Police is expected to pay N10 billion, as NAICOM has set the capital requirements at N8 billion for life insurance, N10 billion for general insurance, N18 billion for composite insurance, and N20 billion for reinsurance businesses.
The move was first disclosed by former Inspector General of Police, Usman Alkali Baba, in 2022 during a workshop for Police Insurance Desk Officers in Abuja. Baba emphasized that the incorporation of the Nigeria Police Insurance Company (NPIC) would provide significant benefits for police officers and their families, improving their welfare and reducing bureaucratic obstacles in managing insurance policies.
“I recently approved the establishment and incorporation of the Nigeria Police Insurance Company (NPIC). The Nigeria Police institution is the largest agency with the highest pool of insurable public servants in the country.
It is therefore expedient that we leverage on this distinct reality towards ensuring that we manage our insurance policies and maximize the benefits derivable therein with less bureaucracy and in the overriding welfare interest of our personnel who are constantly being exposed to occupational hazards,” said Baba.
He urged the former Commissioner for Insurance, Sunday Thomas, to support the Force’s strategic vision by expediting the incorporation process for the company’s swift commencement. Baba assured the force members that the ongoing efforts to revamp the Force Insurance Section would lead to timely resolution of claims and benefits for injured or deceased officers, as well as improved welfare schemes for serving personnel.
