Business

January 16, 2017

NCAT attacks A&G over non-payment of air crash claims

By Favour Nnabugwu

NIGERIAN College of Aviation Technology (NCAT), Zaria and the Alliance & General Insurance Limited (A&G) are still at daggers drawn over the issue of claims for air crashes which occurred in the country between 2010 and 2011.

This was years after the intervention by the Federal Government in reconciling the insurance account of the two institutions over non-payment of claims and premium.

The immediate Past Rector of NCAT, Mr Samuel Caulcrick had last week Saturday complained to the Minister of Aviation, Senator Hadi Sirika, that the college had recorded four accidents for which no insurance claims were paid by the insurer.

Investigations by Vanguard Insurance revealed the A&G had been the insurer of the college for more than 10 years before it was taken away from the underwriter mid 2012.

Caulcrick who was present at Sirika’s 3-day inspection tour, told the Minister that the College was faced with some challenges, part of which included the insurance claims owed the college.

He stated: “Some of the challenges the Aviation College is facing includes the outstanding insurance claims for four (4) accidented aircrafts and other items.”

But further investigations also revealed that the NCAT has not till date made a formal complain to the National Insurance Commission (NAICOM). But Vanguard learnt that A & G had once paid NCAT over N1.2 billion in claims for one of its aircraft that crashed in 2010.

While NCAT maintained that four accidents claims were yet to be paid, A & G insurance, Vanguard learnt, had only one claim to settle.

The insurer is said to have spent over N250 million on one of the Aviation College’s most prestigious aircraft, 5N-CAG that crash-landed which was ferried to Denmark for repairs.

Vanguard further learnt that NCAT has not officially written to A & G to report the other three accidents to the while the insurer said NCAT owed it N442 million premium but the premium was reviewed to N370million after a tripartite meeting. However, the legal department of NCAT a week ago, wrote to A & G Insurance requesting for an accounts reconciliation.