NAICOM collaborates with Malaysia on Takaful insurance coverage

The Nationwide Insurance coverage Fee is in collaboration with Malaysia to spice up Takaful insurance coverage operations in Nigeria.

This got here to gentle when the Commissioner for Insurance coverage/Chief Government Officer of the Nationwide Insurance coverage Fee, Mr. Olusegun Omosehin, hosted the Excessive Commissioner of the Excessive Fee of Malaysia to Nigeria, Mr. Aiyub Omar, at his workplace in Abuja lately.

Takaful is the Islamic various to insurance coverage that enables people to pool their cash collectively to insure in opposition to losses or damages.

A press release from the Fee made accessible to The PidomNigeria revealed that each events agreed to collaborate within the areas of capability constructing and funding alternatives.

Throughout the assembly, the CFI instructed learning nations with related traits, akin to Malaysia, which has witnessed fast development in Takaful Insurance coverage over the previous three many years.

“This method would allow the Fee to establish finest practices, acquire invaluable insights, and adapt methods which have confirmed profitable in related markets. By exploring worldwide fashions and benchmarking in opposition to business leaders, the Fee goals to create a extra conducive setting for insurance coverage development in Nigeria, finally benefiting policyholders and stakeholders alike,” a part of the assertion learn.

Omosehin additionally confused the significance of information sharing to copy profitable fashions in Nigeria, notably in reaching President Bola Tinubu’s imaginative and prescient of a $1tn economic system.

The Takaful insurance coverage sub-sector in Nigeria has expanded from a single firm in 2013 to 6 corporations at the moment underneath the Nationwide Insurance coverage Fee’s regulation.

To faucet into this potential, the CFI emphasised the necessity for data sharing and strategic partnerships.

“By studying from Malaysia’s experiences and finest practices, Nigeria can speed up its financial development and improvement, finally reaching the formidable aim of a $1tn economic system,” he stated.

In his response, the Malaysian Excessive Commissioner expressed an enthusiasm for collaboration.

He highlighted Malaysia’s experience in Takaful insurance coverage, emphasising the potential for bilateral agreements to drive development in Nigeria’s insurance coverage business, notably within the Takaful sector.

Noting NAICOM’s sturdy curiosity in growing the business, the Excessive Commissioner pledged to facilitate connections between Malaysian Takaful insurance coverage corporations and Nigerian stakeholders, paving the best way for additional funding and cooperation.

This partnership may leverage Malaysia’s expertise in Takaful insurance coverage, which has been a major contributor to the nation’s Islamic finance sector.

Additionally, the CFI delivered to the Malaysian Excessive Commissioner’s consideration the newly handed Insurance coverage Invoice by the Senate, which now awaits concurrence from the Home of Representatives.

This Invoice is anticipated to considerably increase capital within the insurance coverage business and create new funding alternatives.

By enhancing the regulatory framework, the Invoice seeks to advertise the expansion and improvement of the insurance coverage business in Nigeria, finally contributing to the nation’s financial development.

Additionally, the Malaysian Excessive Commissioner expressed curiosity in capability constructing for NAICOM employees, proposing a coaching programme led by Malaysian useful resource personnel, geared toward enhancing the talents and data of NAICOM employees as regulators, finally including worth to the Nigerian insurance coverage business.

In accordance with NAICOM, this aligns with its targets, which embrace strengthening supervisory capabilities, bettering security and soundness, and fostering innovation and sustainability within the Nigerian insurance coverage business.

Current on the assembly have been the Deputy Commissioner Technical, Mr. Usman Jankara; Deputy Commissioner Finance and Administration, Mr. Ekerete Ola Gam-Ikon; the Director, Authorized and Enforcement & Market Growth, Dr. Talmis Usman; and others.