Insurance companies have urged the National Insurance Commission to waive the first phase of its segmented recapitalisation for the insurance and reinsurance companies scheduled to end by December 31, 2020.
They spoke during a meeting of insurance companies’ chief executive officers with the commissioner for insurance at the industry’s professional forum in Abeokuta, Ogun State.
The executive said the operators had earlier appealed to the commission to waive the December 2020 milestone.
He said the operators were more concerned about the aspect relating to attainment of certain thresholds by December 31, 2020, failing which the commission may restrict the scope of business insurance and reinsurance companies will transact.
He said the operators observed the huge impact of COVID-19 on the financial services sector and the national economy at large, coupled with the situation that was worsened by losses from the nationwide #EndSARS protests.
NAICOM had recently extended the deadline for insurance and reinsurance companies to meet its new capital requirements to September 30, 2021 from December 31, 2020.
NAICOM also mandated that 50 per cent of the minimum paid-up capital for insurance and 60 per cent for reinsurance must be met by 31 December 2020.