NCRIB reiterates need for institutions to patronize registered brokers
Mr. Shola Tinubu, President, NCRIB
Against the generally low public awareness and conviction about the roles of insurance brokers leading to infringement of the extant law requiring their patronage for insurance placements, the Nigerian Council of Registered Insurance Brokers (NCRIB) has highlighted the dangers facing corporate entities that patronize non-registered brokers.
In a letter sent to relevant corporate institutions and Ministries Department and Agencies (MDAs), the Council, through its Executive Secretary, Fatai Adegbenro, underscored the fact that the NCRIB is the only umbrella body for Registered Insurance Brokers in Nigeria, having been chartered by the NCRIB Act No. 21 of 2003.
He noted that “through the Act, the Council became the sole umbrella body registering Insurance Brokers in the country as it also gives powers to control, regulate and sanction Insurance Brokers in the case of infractions which it has been undertaking creditably till date.”
Adegbenro averred that “Insurance Brokers are the professional intermediaries in the insurance value chain who assist insurance clients (whether Corporate or individuals) to maximize their insurances through rendition of personalized insurance professional advise; sourcing for adequate insurance rates from a range of insurance underwriters and assisting clients to process claims when a loss occurs, among others. It must be understood that engaging an Insurance Broker does not add to the cost of procuring insurance, rather, it reduces it.”
NCRIB warned the corporate institutions to be weary of falling prey to the antics of unethical brokerage firms who seek patronage of clients without being registered with the Council.
“Aside from operating in contravention of the law which makes the membership of the NCRIB a pre-condition for operating in the market, the activities of such charlatans have continued to constitute image slur for the industry. Companies that patronize such operators are doing so illegally and as such imperil their organization,” Adegbenro noted.
