The Nigerian Insurance Association (NIA) has revealed plans to engage fintech innovations to address delays in the policyholders’ claims process in the country.
The Chairman, Kunle Ahmed, said this at the 2024 first quarterly briefing on the industry’s performance, saying underwriting firms remain willing and prepared to pay all valid claims promptly.
The chairman said the association was in total support of the NAICOM in a recent publication of unpaid claims in the national papers as this would help reassure policyholders. He stressed that honouring legitimate claims was key to building public trust in the insurance industry.
According to him, claims payment and processing require urgent solutions.
“We are approaching this as a united industry to reduce costs and make a greater impact,” he said.
Ahmed noted that beyond payments, NIA was addressing challenges linked to the ease and timelines of claims settlements.
He also identified excessive documentation as a key hurdle, saying some insurers request unnecessary documents for certain claims.
He noted that NIA and NCRIB technical committees were working to define the minimum documents required for a valid claim in the industry.
The Director General of the association, Bola Odukale, commended the decision of the NAICOM to publish the names of insurance operators with outstanding claims and the details of these complaints.
He said the commission was promoting transparency and demonstrating a commitment to protecting the interests of policyholders.
According to her, the publication sent a strong message to insurers that the regulator is taking the issue of unpaid claims seriously and is willing to take concrete actions to ensure that policyholders receive their due compensation when due.
She said the regulator has explicitly stated its zero tolerance for delays in settling genuine claims and has warned that non-payment could lead to the cancellation of licences.
