The National Insurance Commission (NAICOM) has revoked the operational licenses of Standard Alliance Insurance Plc and Niger Insurance Plc.
Why is this?
While NAICOM gave no official reason for revoking the firms’ operating licenses, the commission, through its spokesperson, noted that the revocation took effect from June 21, 2022. The insurance regulator is authorized to revoke a firm’s license for various reasons, including; if the firm becomes insolvent, threatens to suspend the payment of claims, or is otherwise unable to fulfill its obligations.
What happens to the firms’ clients now?
In a statement by its spokesperson, Rasaaq Salami, NAICOM assured stakeholders of the “safety and protection of their interests”. Sanya Ogunkuade and Kehinde Aina (both legal practitioners) were appointed as receiver/liquidator for Niger Insurance Plc and Standard Alliance Insurance Plc, respectively. “All stakeholders are advised to forward their inquiries to the respective Receiver/Liquidator for each company for their necessary action”, the statement read.