Breaking News

SA MD warns against fake insurance

By Rosemary Onuoha

A call has gone out to the general public to be wary of fake insurers and desist from patronising them because they won’t get any compensation when they encounter any loss.

Managing Director of Standard Alliance Insurance Plc Mr. Tom Imokhai, who made the call, reiterated that those who of such fake motor insurance policies who think they are covered and can have access to claims when there are accidents are far from reality.

Imokhai, who lamented the devastating effects of the activities of those involved in selling fake insurance policies on the motor insurance business of all registered underwriting companies in the country, hailed the raiding of fake insurance agents and touts by the insurance regulatory authority, National Insurance Commission, (NAICOM).

According to him, the action by the Commission, though long overdue, was coming at a time it was most needed to save the industry from the negative perception. He commended the resolve of the Commission to come to the aid of insurance operators.

During the raid at the Vehicle Registration Office at Mabushi, Abuja, in which five fake insurance hawkers were arrested, the Commission’s officials vowed to flush out perpetrators whose activities have been denting the integrity and image of the sector.

According to the Commission’s boss, Mr. Fola Daniel, the exercise was meant to tell Nigerians that the Commission was resolute on ridding the sector of fake insurers and protecting the interest of both genuine insurers and the insuring public.

Those arrested were found with fake motor insurance certificates which they sold for N2,000 whereas the original certificates go for N5,000. The certificates purportedly had the names and logos of registered insurance companies.

While urging Nigerians to desist from buying insurance policies from vehicle registration offices, Mr. Daniel noted that it was in the best interest of the motorists to go to offices of duly registered insurance companies to get the original certificates so that they could have access to claims in case the insured risk crystallizes.

According to the Commission’s boss, “For those who buy fake insurance, problem arises when there is an accident. At that point, they say insurance companies refuse to pay.

They begin to call the insurance companies all sorts of names. Our action is to rid the industry of those that are giving insurers the bad name and to send signals to the whole nation that we are coming. This action will be sustained and will be held nationwide,” Mr. Daniel had explained.


Comments expressed here do not reflect the opinions of vanguard newspapers or any employee thereof.