The Insurance Commissioner says regulatory emphasis on compliance with COVID-19 was adopted along the implementation of good hygiene and infection control practices also aligned regulatory policies with the Federal Government guidance on COVID-19 which led to support for prompt identification and isolation of infected persons with directive of limitation of visitors and physical meetings and Mandatory use of face mask.
Mr Sunday Thomas, Commissioner For Insurance, at Chartered Insurance Institute of Nigeria said this during the 2022 Business Outlook Seminar that strategies aimed at cushioning the effects of the covid-19 on the operations of the Nigerian insurance industry and the way forward held on February 22, 2022.
Transition Activities to Remote Work Arrangement
According to him, strengthened remote access management policy and procedures was applied and reinforced cyber protections to tame increased exposure to cyber risks. Utilization of video conferencing technology solutions and Issuance of ICT Standards for the industry, he added.
Relaxed Some Policy and Programmes
Thomas recalled the extension of the Recapitalization Exercise to strengthens industry including transition to Risk Based Supervisory Regime and IFRS 17 commencement date postponed and Regulatory forbearance
Increased Visibility of the Insurance Industry
He disclosed that commission mobilization of the insurance industry to support Government’s efforts to contain the COVID-19 Pandemic, COVID-19 Intervention Term Life Insurance Cover for frontline health personnel and Commendation of the Insurance Industry by President Muhammadu Buhari, GCFR, during his broadcast on the 27th April, 2020.
Strengthen regulatory oversight and risk management
“Improve internal capacity for assessment of emerging risks, Industry readiness assessment, incentivize effective risk management enablers and implement ORSA, internal capital models, solvency test, stress testing, etc
Implement effective policyholder protection schemes
NAICOM boss said the commission has review current policyholders protection schemes and improve use of the Security Fund for settlement of insolvency and distress, Improve enforcement of market conduct rules and Monitor degree of customer satisfaction and enhance insurance education/awareness by policyholders in Nigeria, etc.
Expedite Execution of Project e-Regulation
“NAICOM Portal (Insurance Policy & Licensing systems) now live – Automates the core business processes viz: registration/renewal of licenses, new product, AIP/Attestation for foreign reinsurance placements, Regulatory Returns and Analysis System and of recent technical partnership with FSD Africa – Innovation, BimaLab, Insurtech firms and RBC implementations tools development.
Thomas stated that through Market Development and Collaborative model, the Commission was able to licensing of additional inclusive insurance providers, conduct sensitization workshops, awareness creation and learning sessions. Further use collaboration with State Governments and collaboration and Joint Committees inaugurated between NAICOM & relevant stakeholders such as NHIS, FRSC, PENCOM, FCTA, Federal Fire Service and Ministry of Transport.
NAICOM lists 10 the way forward in the insurance industry: Risk Based Capital approach, Enhance investment in digital capabilities and automation, Entrench Effective Asset Liability Management, Standardization of Reports. Others establishment of the College of Insurance Supervisors of the West African Monetary Zone (CISWAMZ), Reinforce Recovery and Resolution Pla, Context specific products such as loss of job insurance products, Use of modelling for risk assessment and stress testing. Others Cyber insurance policy by Trustees of Customers’ data has become more compelling and Capacity Development Programs – Actuarial, competency frameworks, etc
