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Fourty-nine Insurance companies operating in Nigeria in 2007 absolved over N35 billion risks in the economy in the form of insurance claims paid out to policy holders.

The Nigerian Insurers’ Association, NIA, in its 2007/2008 Annual Report and Insurance Claims Report released on Thursday, disclosed that about 1,686 insurance claims were paid covering the amount.
The NIA Annual Report and Insurance claims for 2007/2008 carried report only on Insurance claims covering N1.5 million and above.
The claims paid by insurance companies range from N1.5 million and N400 million, according to the report.

The NICON Insurance Plc led the group with the payment of N400 million indemnity to Petroleum Training Institute, N358 million to Nigeria Railway Corporation. All claims are for employees withdrawal benefits.
Following in the lead was Crusader Life Insurance Limited that paid N328 million to Nigerian Bottling Company Plc for welfare scheme, and N270 million to Administrative Staff College of Nigeria, ASCON, for life policies.

The report showed that the nature of losses on which the Insurance claims were paid include withdrawal benefits, welfare scheme, engineering, life, fire peril, consequential loss, theft, death, oil energy, contractors all risk, marine, fire, aviation, accident, armed robbery, cash-in-transit, injury, fraud, public liability, combine policy, staff retirement scheme, miscellaneous (bond) and money insurance.

The nature of loss covered in the list include damage to equipment, theft of money, accident damage/own damage, misappropriation, motor, engineering damage to pipes, combined industrial/all risk, fidelity guarantee, burglary, ear, marine damage, group life, engineering damage to machinery, collapsed of boiler, personal accident, cash-in-premises, particular average (short delivery), damage to existing property, workmen compensation, etc.

Mr. I. A. Balogun, the Nigerian Insurers Association’s out going chairman and managing director and Chief Executive Officer of Equity Assurance Plc stated that “during the period under review, the industry paid claims totaling N35.2 billion.
He said, “this attests to the ability of insurance companies to pay genuine claims promptly and expeditiously.”