The National Insurance Commission (NAICOM) and the Federal Road Safety Corps (FRSC) have joined forces to strengthen enforcement of motor third-party compulsory insurance in Nigeria. This collaborative effort aims to promote a safer and more secure environment for all road users.
During a working visit to the FRSC headquarters in Abuja, the Commissioner for Insurance Mr. Olusegun Ayo Omosehin commended the Corps Marshal, Shehu Muhammed, for his efforts in ensuring road safety in Nigeria. Mr. Omosehin highlighted NAICOM’s role in regulating the insurance industry and driving growth and development in the country.
The Commissioner emphasized the importance of third-party motor insurance, outlining its benefits in two parts which includes financial and non-financial benefits. Under financial benefits, victims of damage caused by insured vehicles are entitled to ₦3 million, while in the event of death; the compensation is unlimited, depending on the value of the deceased individual. Non-financial benefits include financial safety, peace of mind, and confidence in compliance with government regulations.
The CFI called for improved collaboration between NAICOM and FRSC to ensure road safety, emphasizing that while it is the primary duty of FRSC, it is also an auxiliary duty of NAICOM to provide risk-mitigating measures through policy regulations.
In response, Corps Marshal Shehu Muhammed assured Omosehin of his partnership, stating that third-party insurance policy is the primary responsibility of the Road Safety Corps and part of the National Road Traffic Regulation, which makes it compulsory for every vehicle owner to have.
It would be recalled that enforcement of Third Party Motor insurance by the Nigerian Police commenced nationwide February 1, 2025 with Police Commissioners in various states directing officers and men to storm the roads with the view to arrest vehicles which do not have valid third party insurance certificates.
The third party motor insurance otherwise called the Act only insurance policy is the least of the motor insurance policy which every vehicle owner is required to obtain before putting his car on any Nigerian road. The policy is intended to protect any member of the public from any harm which might result from any vehicle.
The high commands of the National Insurance Commission (NAICOM) and the office of the Inspector General of Police had previously inaugurated a taskforce charged with the responsibility of enforcing compliance of the Third Party Motor which, a policy which insurance companies offer a minimum premium of N15, 000 for a circle of 12 months.
