The National Insurance Commission, NAICOM, has frowned at the spate of building collapse across the country and the absence of insurance compensation to victims.
Accordingly, NAICOM has urged all state governments to initiate the process of enacting legislation to ensure that all buildings used by third parties within their states are adequately insured so as to give relief to victims of collapsed buildings whenever they occur.
The absence of insurance compensation is in spite of the law which makes insurance of public buildings compulsory under the insurance Act of 2003.
According to NAICOM, in Lagos alone, it is reported that well over 20 lives have been lost to building collapse in the last six months with no form of compensation.
In a statement, the regulatory body said “NAICOM deeply sympathises with victims and family members of those that lost their lives in the recent collapsed buildings in Lagos and Kaduna States.
“Most painful is the fact that majority of those injured have to bear the treatment costs themselves while the families of those that lost their bread winners have no form of compensation, except maybe, the little that the state government could provide from the scarce resources of the state. The Commission is sad with this avoidable burden on government and victims if only these buildings are adequately insured,” NAICOM stated.
It will be recalled that the Federal Government through the Insurance Act 2003, made it compulsory for all buildings used by third parties to be insured against the risks of collapse, fire, earthquakes, storm or flood such that in the event of any of these risks crystalising, adequate compensation would be paid to both victims and families of those who may lose their lives.
NAICOM stated “Members of the public are hereby reminded that non-compliance with this provision of the law attracts a penalty of N100,000.00 or one year imprisonment or both. Let us all give hope to victims and family members of those who lose their bread winners in collapsed building incidences across the country.”