Staff insurance: FCTA gives ultimatum to defaulting firms

The FCT Administration has given 30 days ultimatum to defaulting insurance firms to settle indemnity claims of its deceased members of staff or face the consequences.The FCT Permanent Secretary, Dr Babatope Ajakaiye gave the directive on Monday in Abuja at a meeting with representatives of the nine insurance companies involved in FCTA Group Life Assurance Scheme.

Ajakaiye stressed that the “era of impunity is gone forever’’ and he would not hesitate to drag the defaulting firms to anti-graft agencies for prosecution.

He described the attitude of the defaulting firms as “callous and insensitive’’ reiterating that he would go to any length to ensure that the claims were paid.

“These insurance firms which have refused to pay claims from 2007 to date are deliberately frustrating the implementation of this laudable policy.

“We made this policy so that we can take care of those they left behind.

“If we could bring you in as our partners to implement this scheme, there is no reason why you should default on your own part.

“When I received brief on this issue, I felt very unhappy and very bad about it.

“If there is anything I will never play with wherever I go, it is staff welfare, especially the welfare of those who are so unfortunate to depart from us,” he said.

“The present crop of leadership in the FCTA places high premium on staff welfare and would not tolerate crass lawlessness from any insurance company.

“We will not allow you to continue to do whatever you like with this money. This money is already with you and the Administration does not owe you.

“If this (payment) is not done within the stipulated period, we will write to Mr. President on this matter and be assured that the security agencies including the anti-graft bodies will treat this as economic sabotage,” he insisted.

The News Agency of Nigeria (NAN) reports the insurance claims which run into several hundreds of millions of Naira have been pending since 2007.

The development had kept the next of kin of the deceased in financial and emotional trauma.

Some of the companies involved in the insurance scheme included; Leadway Assurance, Standard Alliance, Crystal Life, Capital Express, Zenith General Insurance.

Others were Intercontinental Life Assurance Company, Wapic Life Assurance, Oceanic Life, Lasco and Goldlink.

NAN