The National Insurance Commission (NAICOM), in collaboration with the Nigeria Police Force, has intensified its fight against fake insurance policies with a fresh crackdown in Abuja.
According to NAICOM, its Third-Party Motor Insurance Enforcement Committee carried out a raid in the Mabuchi area, targeting racketeers issuing counterfeit motor insurance documents. The move follows the Inspector-General of Police’s directive on strict enforcement of third-party motor vehicle insurance nationwide.
Why the Crackdown Matters
Speaking during the operation, Adeyemi Abubakar, Head of Market Development at NAICOM, said the exercise is aimed at protecting Nigerians from fraudulent policies.
He stressed that:
- Genuine insurance policies provide compensation for accident victims.
- Fake policies leave motorists stranded without cover.
- Selling insurance without a licence is illegal and punishable under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
Under NIIRA 2025, offenders risk fines of up to N200,000, one-year imprisonment, or both.
Consumer Advisory
NAICOM urged motorists to buy policies only from licensed insurance companies and verify authenticity through the Commission’s approved platforms. The regulator reaffirmed its commitment to sanitising Nigeria’s insurance market and ensuring citizens get the protection they pay for.
