NAICOM suspends Alliance & General Insurance, Life Assurance, Fidelity Bond over violation
WorldStage Newsonline-- In a bid to ensure sanity and ethical practice in the insurance industry, the National Insurance Commission (NAICOM), Monday suspended Alliance and General Insurance Company Ltd ( A&G), Life Assurance Plc and Fidelity Bond Insurance Brokers from transacting further insurance business for a period of six months with effect from August 6, 2012.
According to the commission, the suspension was as a result of the failure by the respective companies to comply with relevant provisions of the Commission Act 1997 and the Insurance Act 2003.
Disclosing this through a press statement signed by the head of Corporate Communication, Lucky Fiakpa, specifically, the offences of the companies include non-rendition of accounts; misrepresentation and non-disclosure of liabilities; non-remittance of premiums and commissions, and corporate governance abuses.
The statement further said that “the Commission, in the exercise of the powers conferred on it by the enabling laws also states that the suspension order may further be extended at the end of six months until such a period when the Commission is satisfied that; the violation of the provisions of the National Insurance Commission Act 1997 and the Insurance Act 2003 has been addressed.
“Secondly, that the method of transacting business is no longer hazardous to the policyholders and potential clients.”