Underwriting companies have been directed by the National Insurance Commission
(NAICOM) to make sure that premium bids and rates for government assets are based
on relevant data to improve market efficiency.
The Guidelines for Insurance of Government Assets and Liabilities for Ministries,
Departments, and Agencies (MDAs) of Government and Other Stakeholders contained this
statement from the commission.
He stated that no insurance operator may set, quote, offer, pay, or accept any rate that is
outside of the range of rates that have previously been filed to the commission under the
market conduct rules’ rate filing requirements.
The panel further determined that it would be unlawful for an MDA to increase the premium
that it must pay for the nation’s insurance policy covering government assets and liabilities.
It urged insurance providers to handle their business relationships with MDAs under business conduct and market conduct guidelines, emphasizing that it is unlawful to demand, offer, pay, or receive any discounts or rebates that are not permitted by current insurance laws and regulations.
