NAICOM gives lifeline to 108 brokers with lapsed licences

The National Insurance Commission(NAICOM) has issued a lifeline to the 108 Insurance Brokers whose licence lapsed with requirements to re-register under the same name.

Emmanuel Kayode Okunoren, NCRIB, President

NAICOM in a Circular obtained by Daily Times titled, “REQUIREMENTS FOR RE-REGISTRATION OF AN INSURANCE BROKER WITH LAPSED LICENCE” grouped the requirements under seven phases.

Under the phase one, the brokers are requested to submit a letter of Appeal giving reasons why the last licence lapsed and payment of N250,000.00, which is non-refundable for processing of the appeal.

In the phase two, an application for re-registration only if appeal is sustained by the Commission: Payment of application fee (N250,000); Certified True Copy of CAC’s Forms C02 and C07; Evidence of payments of the fee in phase 1 above; Payment of all outstanding ISS levies due before the license lapsed.

Other requirements under phase two includes, nomination of qualified CEO and Executive Management for NAICOM’s approval and submission of a Management Account/Statement of Account as at the last day of last month of the period since the last approved account.

Phase three, the brokers will apply for NAICOM’s approval of the Members of the Board of Directors of the firm.

Also in phase four, re-registration Inspection of Broker to determine non-violation of the Insurance Act and payment of penalties for identified violations/non-compliance.

Phase five, the insurance brokers will attend and must be successful at the Re-Registration Interview which will be conducted by the Commission.

Under the phase six of the requirements, the brokers will submit Professional Indemnitification, sworn declarations, other Declarations, tax clearance for the expired period of license, certificate on Oath from the External Auditors and payment of License Fee, N2,250,000.00, then the brokers will be entitled to issuance of License in the phase seven.

Daily Times had reported that the Nigerian Council of Registered Insurance Brokers (NCRIB) setup committee to hear the affected brokers and mediate with NAICOM to show some level sympathy for the brokers.

It was gathered that the regulator, after it listened to the plea of the broking fraternity, decided to temper justice with mercy, by requesting the interested brokers to re-register their firms.

The regulator, it was learnt, granted this amnesty when the Nigerian Council of Registered Insurance Brokers(NCRIB) met NAICOM over the delisting of their members’ firms last year.

While some brokers have started the process of getting back their licences, others are still sceptical on the requirements needed to have their licences reinstated.

Meanwhile, Daily Times learnt that this is the first time the regulator has decided to reinstate lapsed licences, and this was done to give fair play to all stakeholders in insurance industry as well as maintaining a strong relationship with NCRIB.