The Federal Government has jerked the compulsory amount payable as a vehicle third-party insurance by a motorist from N5,000 to now N15,000 effective January 1st, 2023 which represents a 200% percent increase. Nigeria’s apex insurance regulator, the National Insurance Commission, NAICOM made this known its new rates through a circular issued to all insurance firms over the weekend. The circular titled, ‘New Premium Rate for Motor Insurance,’ signed by NAICOM’s Director of Policy and Regulation, Leo Akah, warned against defaulting.
The circular explained, “Under the exercise of its function of approving rates of insurance premium under Section 7 of NAICOM Act 1997 and other extant laws, the commission, as a result of this, issues this circular on the new motor insurance premium rates effective from January 1, 2023.”
The statement added It added that private vehicles carrying goods would pay an N20,000 premium, staff buses would also pay an N20,000 premium, and trucks and general cartage would pay N100,000. A particular type of carriage vehicle also will pay N20,000.
It further detailed as In contrast, tricycles, commonly called Keke Napep, will pay N5,000, and motorcycles, popularly called Okada, will pay N3,000.
