“The attitude of the market must change to claims settlement must change. Insurers must move away from not settling claim to look for reasons why they should settle claim. If there is a single reason to settle it, then please do it.”
That is how much the National Insurance Commission NAICOM three month old team led by the Commissioner for Insurance, Olusegun Ayo Omosehin is demonstating how it has knocked piles of claims priority into the landscape of insurance.
The Commissioner for Insurance surrounded by his Deputy CFI’s and Directors at the first Media Interaction in Lagos at Radisson Blu Ikeja on Wednesday said, “One key element we are focused on is how to restore public trust and confidence in the insurance sector. This is one of the cardinal objectives of this administration and we are taking it seriously. In all our stakeholders engagements we prioritised it and we made it very clear that restoring public trust and confidence is a mandate that we must deliver on.”
Placing beacons as guide the CFI said, “The reality of our situation is that we are prioritising claims settlement and that was why we created the Directorate for Market Conduct and Complaints Bureau.”
He emphasised that the issue of claim was clear, “This is not just rhetoric’s.” he said the phase now is for businesses and individuals to take insurers for their words. “The business of insurance is about selling promises. What insurers tell the business entity or the individual at the point of prospecting is a word of promise that if a defined event happens I will indemnify. That is an issue that needs to be taken seriously when it occurs.”
Noting that the dust raised sometimes when claims arise was unnecessary NAICOM helmsman said, “We don’t want a situation where at the point of claims is where interpretation comes and the insurer says what I meant was different not exactly the way you are taking it.” Explaining how far the Commission has moved away from claims objections he said, “If we get a complaint against you as an operator, especially as it relates to claims settlement, the first rule will be go and settle the claim.” The exception he admitted, would be a proven fraudulent claim. However, he said if it was a case of using warranty “to rope the customer” the reaction of the Commission he stated would that the insurer prepared it and inserted into the policy and therefore cannot be sustained.
“Often times those things that would create issues are on borderline. There are things not borne out of wilful act. There are things that happen beyond the imagination of the insured and the insurer will find a reason to raise objection,” he said the Commission holds firmly the view that the market should move away from those clips for claim objections.