By Dipo Olowookere
To Complete Process in Q2 2020
Managing Director/CEO of Linkage Assurance Plc, Mr Daniel Braie, has declared that the insurer will not need to source for external funds to meet up with the new capital base of N10 billion.
Last year, the National Insurance Commission (NAICOM) gave operators in the sector December 31, 2020 to shore up their capital base.
The regulatory agency had explained that it was raising the minimum paid-up share capital of insurance and reinsurance firms so as to make the sector stronger and better.
Under the new capital regime, life insurance underwriting firms, which currently have a minimum paid up share capital of N2 billion, will be required to have not less than N8 billion as capital base.
Also, insurance firms underwriting general business have been asked to shore up their capital from N3 billion to N10 billion, while insurance companies underwriting both life and general business must now have N18 billion instead of the N5 billion in the former regime.
In addition, NAICOM said reinsurance companies willing to remain in business in the country must have N20 billion against the present N10 billion.
Speaking at the February edition of Nigerian Council of Registered Insurance Brokers (NCRIB) Members’ Evening hosted by Linkage Assurance Plc in Lagos, Mr Braie said his firm has the internal capacity to raise the needed funds.
“Linkage Assurance will conclude its recapitalisation process on or before the end of second quarter 2020. We are financially strong and have the capacity to meet our obligations as and when due,” he declared.
Speaking further, he said, “As spate of insecurity in the country increases, the Nigerian Council of Registered Insurance Brokers (NCRIB) has called on the Federal Government overhaul its security apparatus and enhance collaboration with governments and institutions within and outside the country to an end the menace.”
President of NCRIB, Ms Bola Onigbogi, said the reported cases of kidnapping, terrorism and other criminal cases have reached a preposterous dimension which is adversely affecting the pace of economic growth as genuine foreign investors are scared putting their monies into the economy.
“As a critical player in the national economy, the onus is on the NCRIB to express grave discomfort about the increasing spate of insecurity in the country, in spite of government’s efforts to improve ease of doing business and reflate our national economy.
“There is hardly a day that passes by without reported cases of kidnapping, terrorism and other criminal cases that is fast making our country dreadful to live in.
“We are calling on President Muhammadu Buhari to for instance rejig and reposition the National Orientation Agency (NOA) to conscientize Nigerians continually on the need for them to be their brothers’ keepers by breaking down belief systems, be they religious or cultural, militating against peaceful coexistence and sanctity of human lives,” she said.
“Also, we implore government to join the league of developed countries of the world who have resorted to using Information Communications Technology (ICTs) to combat crime. It is not out of place for the federal, states and local governments to deploy the use of CCTV in all towns and cities in the country. This device would assist the law enforcement agencies to keep better tap on criminal activities throughout the country,” she added.
