NAICOM Hikes Third Party Vehicle Insurance to N15,000



NAICOM Hikes Third Party Vehicle Insurance to N15,000NAICOM Hikes Third Party Vehicle Insurance to N15,000

NAICOM Hikes Third Party Vehicle Insurance to N15,000

Nigeria’s insurance watchdog, the National Insurance Commission (NAICOM) has raised Third Party insurance cover for motorists from N5,000 to N15,000 yearly with effect from January 2023.

The approval is contained in a circular: NAICOM/DPR/CIR/46/2022 addressed to insurance companies and dated Dec. 22, 2022. It was titled: New Premium Rate for Motor Insurance and signed by the Director, Policy and Regulation, NAICOM, Mr Leo Akah for the Commissioner for Insurance.

“Pursuant to the exercise of its function of approving rates of insurance premium under Section 7 of NAICOM Act 1997 and other extant laws, the Commission hereby issues this circular on the new motor insurance premium rates effective from Jan. 1, 2023,’’ it stated.

The commission also stated that the Third Party Property Damage (TPPD) which is the limit of claims an insured can enjoy on a policy for private vehicle will now be N3 million for the new premium of N15,000.

It stated that the limit for own goods would be N5 million, with a new premium of N20,000. Insurance premium rate payable on staff buses is now N20,000 and its TPPD would be N3 million.

NAICOM stated that commercial vehicles, trucks and general cartage now has a TPPD limit of N5 million with N100,000 premium rate; “special types’’ now has a TPPD limit of N3 million and premium of N20,000.

Tricycles now have a TPPD limit of N2 million and premium of N5000 while motorcycles now have a TPPD limit N1 million and premium of N3000.

According to NAICOM, Comprehensive insurance policy premium rate shall not be less than 5 per cent of the sum insured after all rebates or discounts. The commission warned insurers to be guided by the new policy as failure to comply would be appropriately sanctioned. # NAICOM Hikes Third Party Vehicle Insurance to N15,000

Subscribe to our magazine

━ more like this

Prophet Ikuru Urges President Tinubu to Address IPOB Leadership Issue

In a significant statement, Prophet Godwin Ikuru of the Jehovah Eye Salvation Ministry has called on President Bola Ahmed Tinubu to address the issue...

AFCON 2023 Countdown: Cote d’Ivoire may turn back some Nigerians over travel passports

BY KUNLE SOLAJA. Nigerians holding the ECOWAS Travel Certificates and going for the Africa Cup of Nations next month are certain...

Namibia trainer Benjamin names list of 28 players

Namibia will make its fourth African Cup of Nations appearance Coach Collin Benjamin has called up 28 players The Brave Warriors...

Guinea coach Diawara names 25-man squad for AFCON

Guinea will be making its 13th  African Cup of Nations appearance Coach Kaba Diawara has called up 25 players Syli National...

Mozambique coach Conde announces 23-man squad

Mozambique will make their fifth  African Cup of Nations appearance Coach Chiquinho Condé has called up 23 players The Mambas placed...


Please enter your comment!
Please enter your name here