New 3rd Party Motor Insurance Premium Starts September

The Nigerian Insurance industry is set to announce a revised third party Motor insurance premium.

The National Insurance Commission (NAICOM), in collaboration with industry operators, on Thursday has set September 2022 deadline for the announcement of new premium rate for third-party motor insurance in Nigeria.

The new rate which will be an upward review of the current N5,000 premium paid by motorists, is the outcome of the discussion between the committee which consists of the Commission and chief executive officers of underwriting firms.

Third party motor insurance is one of the compulsory classes of insurance and may be the most popular among the six compulsory insurance policies stipulated by the insurance Act 2003.

This was made known by the Vice Chairman of its Sub-Committee, Publicity and Communication, Mr. Segun omosehin at media briefing on the outcome of September insurers committee meeting held in Lagos yesterday.

Speaking further he said the regulator has adopted in principle the implementation of ECOWAS Brown Card and third party motor insurance in Nigeria.

According to him what is left to be finalized is the applicable premium that will be charged and that they are working on simply because they want to be sure they consider all the pros and cons, ticking all the views and concerns with consideration before the final decision on pricing.

On the date for takeoff he said “we are hopeful that this will be concluded on or before ending of the month of September, 2022.”