The National Insurance Commission (NAICOM) has stated that victims of damage caused by insured vehicles are entitled to N3 million, while in the event of death, the compensation is unlimited, depending on the value of the deceased individual.
This clarification was made by the Commission during the recent working visit of the Commissioner for Insurance Mr. Ayo Omosehin, to the Headquarters of the Federal Road Safety Corps (FRSC) in Abuja.
The overall aim of the visit, according to the Commission, was to join forces to strengthen enforcement of motor vehicle third-party compulsory insurance in Nigeria, which would promote a safer and more secure environment for all road users.
During the visit, Mr. Ayo Omosehin commended the Corps Marshal, Shehu Muhammed, for his efforts in ensuring road safety in Nigeria.
Mr. Omosehin highlighted NAICOM’s role in regulating the insurance industry and driving growth and development in the country.
The commissioner emphasized the importance of third-party motor insurance, outlining its benefits in two parts: Financial Benefits and Non-Financial Benefits.
Under financial benefits, victims of damage caused by insured vehicles are entitled to N3 million, while in the event of death, the compensation is unlimited, depending on the value of the deceased individual.
Non-financial benefits include financial safety, peace of mind, and confidence in compliance with government regulations.
The CFI called for improved collaboration between NAICOM and FRSC to ensure road safety, emphasizing that while it is the primary duty of FRSC, it is also an auxiliary duty of NAICOM to provide risk-mitigating measures through policy regulations.
In response, Corps Marshal Shehu Muhammed assured Omosehin of his partnership, stating that third-party insurance policy is the primary responsibility of the Road Safety Corps and part of the National Road Traffic Regulation, which makes it compulsory for every vehicle owner to have.
