NAICOM, FRSC strengthen collaboration on third-party insurance coverage

The Nationwide Insurance coverage Fee and the Federal Street Security Corps have strengthened collaboration on the enforcement of obligatory third-party motor insurance coverage in Nigeria.

In an announcement on Friday, NAICOM mentioned the collaborative effort goals to advertise a safer and safer surroundings for all highway customers.

Recall that the police have commenced the enforcement of third-party motor insurance coverage nationwide since February 1, 2025.

Throughout a working go to to the FRSC headquarters in Abuja, the Commissioner for Insurance coverage, Mr. Olusegun Ayo Omosehin, recommended the Corps Marshal, Shehu Muhammed, for his efforts in guaranteeing highway security in Nigeria.

Omosehin emphasised the significance of third-party motor insurance coverage, outlining its advantages in two components. It named them to incorporate monetary advantages and non-financial advantages.

Underneath monetary advantages, Omosehin mentioned victims of harm attributable to insured automobiles are entitled to N3m, whereas within the occasion of dying, the compensation is limitless, relying on the worth of the deceased particular person. Non-financial advantages embrace monetary security, peace of thoughts, and confidence in compliance with authorities rules.

“The CFI referred to as for improved collaboration between NAICOM and FRSC to make sure highway security, emphasising that whereas it’s the main obligation of FRSC, additionally it is an auxiliary obligation of NAICOM to offer risk-mitigating measures via coverage rules,” a part of the assertion added.

In response, the Corps Marshal assured Omosehin of his partnership, stating that third-party insurance coverage coverage is the first accountability of the Street Security Corps and a part of the Nationwide Street Visitors Regulation, which makes it obligatory for each car proprietor to have.

Because the graduation of the enforcement of obligatory insurance coverage, stakeholders within the sector have been highlighting its advantages for motorists and the insurance coverage business.