Magazine date:
Oct 2018 The National Union of Banks, Insurance and Financial Institutions Employees (NUBIFIE) is against the new classification of insurance companies imposed by the Insurance Supervisory Commission (NAICOM).
NAICOM now classifies insurers into three categories based on the level of their share capital:
- The first tier includes insurance companies with a minimum capital of 15 billion NGN (41 million USD).
- The second group includes those with a minimum capital of 9 billion NGN (25 million USD).
- The third tier involves insurers with a minimum capital of 5 billion NGN (14 million USD).
According to NUBIFIE, this policy may jeopardize the sector. It is also considered discriminatory because it favors the development of some companies at the expense of others. Many insurers are therefore under the threat of bankruptcy. The union is calling upon NAICOM to reconsider this policy.
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