ISAN urges NAICOM to revive insurance sector in 2016

The National Coordinator of Independent Shareholders Association of Nigeria (ISAN), Mr Sunny Nwosu, on Monday urged the National Insurance Commission (NAICOM) to formulate ideas that would revive the insurance industry in 2016.

Nwosu said in Lagos that the advice was necessary because insurance stocks were at the low ebb on the Nigerian Stock Exchange.

Nwosu said members of the association had lost so much from the declining prices of the stocks.

“Investors in the industry need to have returns for their investment.

“Some of us bought shares for N3 or N5, but today it is being sold for 5 kobo, I think NAICOM should look inwards,” Nwosu said.

On the allegation by NAICOM that most shareholder associations aided mismanagement of funds in some insurance companies, Nwosu said he doubted if an association would be involved in such act.

On Dec. 21, 2015, an official of NAICOM alleged that some shareholder associations were deliberately used by management of some insurance companies to cover up their misdeed.

NAICOM’s Director of IT and Supervision, Alhaji Bala Zakariyau, said this at the 2015 Champion Insurance Day in Lagos.

Nwosu said that the allegation was unfounded and challenged NAICOM to name the shareholder associations used by insurance firms to cover up such act.

According to Nwosu, none of ISAN members would embark on such mission because of the huge fund invested by them in the industry.

He added that no insurance company would say any member of ISAN came visiting, asking for bribe or financial gratification.

He said: “We only look at the financial statements of companies sent to us, review it, and send back our position on the statement.

“Well, I do not know the shareholder associations NAICOM is referring to, but definitely, not ISAN members.

“We do not visit anybody or any managing director of any company; it is a taboo to our association,” he said. (NAN)

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