The National Insurance Commission (NAICOM) has begun enforcing the newly assented Nigerian Insurance Act (NIIRA) with a clampdown on vendors of fake motor third-party insurance policies.
In collaboration with the Nigeria Police Force, NAICOM’s Motor Third-Party Insurance Enforcement Committee on Wednesday carried out a raid in Mabushi, Abuja, targeting individuals allegedly issuing counterfeit policies to unsuspecting motorists.
The commission explained that the operation followed a directive from the Inspector General of Police mandating strict compliance with third-party motor insurance nationwide. It described the exercise as part of ongoing efforts to eliminate the circulation of fake insurance documents in the country.
Speaking during the raid, NAICOM’s Head of Market Development, Mr. Adeyemi Abubakar, said the crackdown was designed to safeguard motorists and accident victims from fraudulent practices.
“Genuine third-party motor insurance provides vital compensation for accident victims. Fake policies, on the other hand, leave citizens stranded when they need protection most,” Abubakar said. He stressed that selling insurance without a license is illegal and urged Nigerians to buy policies only from licensed insurers to avoid financial loss and complications during claims.
Abubakar further disclosed that those arrested in the operation would face prosecution under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, with possible penalties including fines and other regulatory sanctions.
NAICOM reaffirmed its commitment to sanitising the insurance industry and advised motorists to always confirm the authenticity of their policies using the commission’s approved verification platforms.
