{Update}:None of our 41 members insured Ikoyi collapsed building – NIA

Written by on November 15, 2021

Two weeks after the collapse of the 21-storey building on Gerard Road, Ikoyi, Lagos State, the Nigerian Insurers Association and the Nigerian Council of Registered Insurance Brokers have said none of their members indicated that it provided insurance cover for the high-rise.

According to the National Insurance Commission, the regulatory body for the industry, out of the 61 licensed insurance companies in the country, 44 operators, comprising of 13 composite and 31 general underwriters, can underwrite building insurance.

The NIA currently has 41 out of the 44 underwriters as its members.

Speaking with our correspondent, the Director-General, NIA, Mrs Yetunde Ilori, said, “None of our members indicated that it insured the building. We even went ahead to contact the reinsurance companies if they have any information on it; they said they were not notified of anything of such.

“We made more enquiries from the agencies in charge of buildings in Lagos, but we have not been informed of any insurance cover for the building.”

Our correspondent gathered that about 70 per cent of risks covered by the insurance companies are placed with them by brokers.

The President, NCRIB, Rotimi Edu, who also spoke with our correspondent, said, if the building was not covered by an insurance company, it could not have been placed by an insurance broker.

He said, “Once there is no underwriter, there can’t be a broker because if the broker had taken the business, he would have placed it.

“Once NIA confirms that they don’t have the business, no broker will do that business because if a broker takes the risk, the broker too must by law have paid. You know there is ‘no premium no cover’ law.

“Even if a broker takes the business and has not paid the premium up till now, that means there is no cover for it.”

The PUNCH had reported last week that the Chairman, NIA, Mr Ganiyu Musa, said the underwriters decided to embark on an enquiry after waiting for days after the tragic incidence, with no one coming forward to notify them of any form of insurance compensation.

He had said, “So far, we have not heard confirmation from any of our members that they have provided cover. We have written, and from the responses we are getting so far, we have not heard any information from any of our members that they indeed provided cover for the building.

“We wrote to the member companies for confirmation. As of the last time I spoke to the secretariat, none has provided cover for the building.”


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