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Motorists Demand Reversal of New Third-Party Insurance Policy

By Adedapo Adesanya
The Insurance Consumers Association of Nigeria (INSCAN), which includes motorists, has called on the National Insurance Commission (NAICOM) to reverse its directive on the increase of third-party motor insurance premium in Nigeria.
NAICOM recently issued a policy directive on the increase of third-party insurance policy in Nigeria by 200 per cent.
INSCAN, in a letter signed by its National Coordinator, Mr Yemi Soladoye, demanded the reversal of the directive, saying it amounted to a deliberate breach of the fundamental Principle of Utmost Good Faith and other decent regulatory principles guiding Insurance practice.
“We hereby write with respect to your Circular No.: NAICOM /DPR/CIR.46/2022 dated Dec. 22, 2022, increasing the third-party motor insurance premium in Nigeria by 200-400 per cent for different categories of motor vehicles.
“And by implication, giving only one week’s notice to the insuring public of Nigeria to comply.
“We demand the reversal of the directive as it amounts to a deliberate breach of the Fundamental Principle of Utmost Good Faith and other decent regulatory principles that guide insurance practice,” it said.
The INSCAN recalled that enough time was given to the public for feedback and adjustments to be made on the recent cases of currency redesign as well as the cash withdrawal limit introduced by the CBN.
It said the almost 20 million Motor Insurance Consumers in Nigeria deserved more than a week’s notice for compliance, describing the duration as a great insult to the collective intelligence of Nigerians.
The association said it had read over 500 public comments by Nigerians on the directive, saying the reputation slowly built for the Nigeria Insurance Industry was being eroded by the series of condemnations.
It said that practitioners, as well as the various arms of the central government of Nigeria, were being unfairly treated.
It quipped, “How much has your commission paid out to victims and customers of Proscribed Insurance Companies over the past 20 years as required under Section 78 of the Insurance Act 2003 to justify an astronomical increase in premium amount?
“Where is the report of an ad hoc committee required to be set up under Sec. 52 of the Insurance Act 2003, stating the imperative of increasing Insurance Premium by a whopping 200 per cent?
“We also know that the referred Sec. 52 of that Insurance Law does not confer arbitrary powers on you because Insurance is a business affected by Public Policy and otherwise it becomes legalised robbery,” it said.
The association said that the predictable outcome of the directive would be a substantial increase in the number of fake Insurance Underwriters in Nigeria.
You are definitely aware of the fact that even at the current N5,000 MTP Premium, many Nigerians still patronise the fake underwriters.
“And this is not because these Nigerians cannot afford the N5,000 but because they don’t see any benefit be it under your genuine or the fake cover,” the association said
It said that the directive would garner more money to the pockets of NAICOM and insurance operators and more hardship to Nigerian insurance consumers.
“To what extent have the interests of the Policyholders of the Insurance Underwriters, whose licences you revoked in the past year, been protected?
“How much have you paid to the various Fire Brigades in Nigeria as Fire Service Maintenance Fund as prescribed under Sec. 65 of the Insurance Act 2003.
“But still, you are quick to increase the Premium burden on the largely dissatisfied Insurance Customers in Nigeria,” it said.
INSCAN lamented the increment without due consideration for the feelings of the consumers, particularly in Nigeria, where the good customers who didn’t make claims are never rewarded.
The association said that failure to reverse the obnoxious directive would put NAICOM on record as the regulator with the highest level of impunity and insensitivity in Nigeria.
It stated that NAICOM’s policy directive was not subjected to civilised trade practices, professionally-accepted insurance principles, transparent customer-oriented regulations and humane attention to the economic situation of most Nigerians.
The association said that consumers were further convinced that the motive behind the directive was self-serving, arrogant and detrimental to their interests.
It said NAICOM was established to protect consumers, demanding a reversal of the policy pending proper consideration of the grey areas of the directive.
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LASTMA to Arrest Commercial Bus Drivers for Illegal Parking, Others

By Modupe Gbadeyanka
Commercial bus operators in Lagos State have been warned against route violations and illegal road parking across the metropolis or risk being apprehended to face the full wrath of the law.
This warning was given by the Special Adviser to Governor Babajide Sanwo-Olu on Transportation, Mr Sola Giwa, who said the government would no longer tolerate the excesses of the commercial bus drivers, especially those operating mini buses, colloquially known as Korope.
In a statement issued by the Director of Public Affairs and Enlightenment Department of the Lagos State Traffic Management Authority (LASTMA), Mr Adebayo Taofiq, the Governor’s aide emphasized the paramount necessity of unwavering adherence to traffic regulations, with particular regard to unauthorized route deviations.
According to him, the new directive is in alignment with the government’s overarching initiative to instil orderliness on Lagos roadways and ensure the uninterrupted flow of vehicular movement across the metropolis.
He further articulated that LASTMA operatives have been duly mandated to escalate enforcement strategies aimed at curbing reckless driving and unlawful practices that hinder urban mobility and disrupt the city’s traffic ecosystem.
Additionally, Mr Giwa issued a categorical directive against the indiscriminate occupation of public roadways for unauthorized parking and loading activities, which significantly aggravate traffic congestion and pose substantial risks to other road users.
He emphasized that, moving forward, all commercial operators must restrict their operations to designated bus stops and terminals to avert unwarranted impediments to vehicular circulation.
“Illegal parking and flagrant route violations have metamorphosed into a grave menace in Lagos, particularly due to the arbitrary conduct of mini bus operators. Such transgressions, which impede traffic fluidity and endanger public safety, will no longer be condoned.
“LASTMA has been expressly instructed to enforce absolute compliance with extant traffic laws and to apprehend defaulters accordingly,” Mr Giwa asserted.
“Furthermore, strict adherence to designated routes is imperative for security purposes, as it acts as a deterrent against unscrupulous elements who exploit commercial vehicles, particularly Korope, for illicit activities,” he added.
In light of these directives, LASTMA enjoins all road users, especially commercial transport operators, to cooperate fully with traffic enforcement authorities by adhering strictly to stipulated regulations and fostering a culture of responsible driving.
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inDrive Rewards Drivers for Dedication at Ramadan

By Aduragbemi Omiyale
A leading global ride-hailing platform operating in 48 countries worldwide, including Nigeria, inDrive, recently rewarded some of its drivers for being active in the month of Ramadan.
The company, through a recently concluded weeklong campaign tagged inDrive Ramadan Drivers’ Initiative in Abuja, showered gift items on its drivers.
inDrive said the campaign fostered a deeper connection with its driver community, reaffirming its mission to empower and support those at the heart of its operations.
It underscored the brand’s ongoing efforts to foster a culture of recognition, appreciation, and financial support, ensuring drivers remain at the forefront of its mission to provide fair and people-first mobility solutions.
The platform, it was learned, recognized and rewarded drivers who went the extra mile to serve riders during the holy month of Ramadan, ensuring safe and reliable transportation for passengers.
The drivers were given thoughtfully curated hampers and other items, symbolizing inDrive’s deep appreciation for their commitment and exceptional service.
They were chosen after remaining online and consistently completing rides during the period for a special contest recognizing their dedication.
Speaking on the campaign, the Country Representative of inDrive in Nigeria, Mr Timothy Oladimeji, said, “At inDrive, we recognize the dedication and resilience of our drivers, especially during significant periods like Ramadan.”
“This initiative is our way of expressing gratitude and reinforcing our commitment to their well-being and success. We believe that when drivers feel valued and supported, they are better positioned to provide excellent service to riders,” he added.
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Tanker Explosion: Lagos Promises Stronger Safety Measures

By Modupe Gbadeyanka
The Lagos State government has promised to put in place stronger safety measures after a gas tanker explosion on Otedola Bridge on Tuesday night.
The incident reportedly claimed two lives and destroyed some properties in the area, including vehicles and buildings.
Reacting to the explosion, the Commissioner for Transportation, Mr Oluwaseun Osiyemi, expressed the regret of the state government over the widespread damage and disruption caused by the tragedy.
“Our thoughts are with those affected, and we commend the swift response of emergency services working tirelessly to manage the aftermath,” he said.
The Commissioner noted that the incident reinforces the urgent need for stricter safety protocols for heavy-duty vehicles.
“The Ministry of Transportation is also intensifying enforcement on the movement of hazardous materials, strengthening regulatory compliance, and implementing enhanced safety measures to prevent future occurrences,” he stated.
Mr Osiyemi called on “all transport operators to uphold the highest safety standards and cooperate with government efforts to safeguard lives and property,” saying, “Lagos remains committed to a safer, more resilient transport system for all.”
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