By Victor Ahiuma-Young

The Managing Director of the Nigeria Social Insurance Trust Fund, NSITF, Oluwaseun Faleye, has identified fraudulent claims as a major challenge facing the Fund.

This came as Faleye noted that limited partnership with other social security institutions remains a major factor militating against an effective social security system.

A statement by the Fund on Monday in Abuja, said the Managing Director spoke at the West Africa Technical Workshop of the International Social Security Association, ISSA, in Conakry, Guinea, where he presented a paper on “Strategic Role of Actuarial Work in Strengthening Social Insurance Delivery at NSITF”.

Though the Managing Director did to give details of the claim falsifications, he lamented that the falsification of claims exposes the Fund to significant operational risks.

He also pointed out that partial digitization often affects turnaround time, and the limited partnership with other social security institutions remains a major factor militating against an effective social security system.

The Managing Director decried the low enrollment in the Fund’s flagship program, the Employee Compensation Scheme, ECS, emphasizing that “ESC is designed to provide relief to workers who suffer workplace injuries or death.”

According to him, the unstructured informal economic sector, which constitutes about 80 percent of Nigeria’s economy, hinders enrollment and weakens the safety net for those currently enrolled.

The statement explained that “NSITF’s attendance at the gathering signals Nigeria’s return to the international social security stage through ISSA. Industry watchers have noted that this development brings significant benefits for the country.

“The gathering provides Nigeria with an opportunity to stay abreast of international developments and global best practices in the social security sector, thereby helping to reposition the Fund for growth and sustainability.

“The workshop, themed “Actuarial Work for Good Governance and Financial Resilience of Social Security in West Africa,” further underscores, in the words of the NSITF MD, a major step by Nigeria to reconnect with the international community through ISSA.

This, he noted, is essential to reposition the Fund using global guidelines, particularly in actuarial valuations that ensure the sustainability of the scheme and the promotion of good governance.”