In a landmark move to strengthen Nigeria’s road safety framework and enhance insurance compliance, the National Insurance Commission (NAICOM) and the Federal Road Safety Corps (FRSC) have jointly inaugurated a National Enforcement Committee to implement and monitor compliance with the Compulsory Third-Party Motor Insurance policy across the country.
The inauguration ceremony, held at NAICOM’s headquarters in Abuja, marks a critical milestone in the operationalization of the Nigerian Insurance Industry Reform Act (NIIRA) 2025 — a legislative framework aimed at modernizing Nigeria’s insurance landscape, improving consumer confidence, and aligning the sector with international standards.
Driving Reform through Partnership
Delivering his opening remarks, the Commissioner for Insurance, Mr. Olusegun Ayo Omosehin, described the partnership as a bold step toward transforming Nigeria’s insurance ecosystem while protecting lives and property on the nation’s roads.
“This collaboration between NAICOM and FRSC is a major advancement in ensuring that every motorist on Nigerian roads is properly insured and that accident victims receive prompt compensation,” Omosehin said. “It also speaks directly to President Bola Ahmed Tinubu’s Renewed Hope Agenda, which emphasizes institutional reform and people-focused development.”
He highlighted the initiative’s potential to achieve four key outcomes:
- Effective enforcement of compulsory third-party motor insurance nationwide.
- Integration of NAICOM and FRSC databases to verify insurance status in real time.
- Enhanced protection and compensation for accident victims.
- Increased public awareness of motorists’ insurance rights and obligations.
Omosehin stressed that with more than 12 million vehicles plying Nigerian roads, enforcing compulsory insurance is no longer optional but essential for economic stability and social justice. He added that NAICOM remains committed to leveraging digital technology to close compliance gaps and ensure transparency in the claims process.
FRSC Pledges Full Support
On his part, the Corps Marshal of the Federal Road Safety Corps, Shehu Mohammed, mni, applauded NAICOM’s leadership in initiating a reform that directly benefits road users, accident victims, and the Nigerian economy.
“This partnership sets a new benchmark for inter-agency cooperation. Beyond compliance, it will protect lives and guarantee that accident victims are not left without financial support,” Mohammed stated.
The Corps Marshal revealed that the FRSC is deploying advanced technologies — including automated vehicle registration systems and digital insurance verification tools — to ensure enforcement officers can confirm the authenticity of insurance documents on the spot.
He added that the joint enforcement would be backed by a robust public education campaign to sensitize commercial drivers, transport unions, and the motoring public on the benefits of compliance.
Committee’s Mandate and Structure
Presenting the Terms of Reference (ToR), Deputy Commissioner for Insurance, Mr. Ekerete Ola Gam-Ikon, outlined the core objectives of the newly inaugurated Joint Committee, which include:
- Enforcing compulsory Third-Party Motor Insurance nationwide.
- Reducing the population of uninsured vehicles on Nigerian roads.
- Ensuring prompt compensation and medical support for accident victims.
- Promoting public awareness and education on insurance benefits and obligations.
- Enabling digital verification of insurance certificates in real time.
- Supporting microinsurance development tailored to commercial drivers and passengers.
- Enhancing emergency response coordination during road accidents, particularly within the “golden hour.”
The Committee will be co-chaired by senior representatives of NAICOM and FRSC, with NAICOM serving as the Secretariat. It will oversee joint field operations, compliance monitoring, data harmonization, and continuous evaluation of enforcement strategies to ensure measurable progress.
Reinforcing National Development Goals
In his closing remarks, Commissioner Omosehin reaffirmed NAICOM’s commitment to sustaining the collaboration through periodic review meetings, data sharing, and continuous innovation.
“This partnership is not a one-time event but a sustained national strategy,” he said. “Our vision is to build an insurance culture where compliance is the norm, not the exception — resulting in fewer road fatalities, more insured motorists, and stronger public confidence in the Nigerian insurance system.”
The event concluded with a joint declaration officially launching the NAICOM–FRSC Joint Committee on Enforcement of Compulsory Third-Party Motor Insurance, followed by a group photograph of both agencies’ executives and committee members — symbolizing a renewed commitment to a safer, more responsible road culture in Nigeria.
Background: A New Era for Insurance Enforcement
Under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, all vehicle owners in Nigeria are mandated to obtain Third-Party Motor Insurance, which covers liabilities for injury or damage to third parties in the event of an accident. Despite the law, enforcement has been weak, with millions of vehicles operating uninsured.
The new NAICOM–FRSC partnership aims to reverse this trend by integrating digital databases, empowering enforcement officers, and strengthening legal and policy frameworks to ensure nationwide compliance.
According to industry analysts, this development is expected to expand Nigeria’s insurance coverage, reduce fiscal pressure on the government in compensating accident victims, and support the insurance industry’s contribution to the $1 trillion economy target of the Tinubu administration.
NAICOM and FRSC have inaugurated a Joint Enforcement Committee to drive nationwide compliance with Compulsory Third-Party Motor Insurance under the NIIRA 2025. The initiative aligns with President Tinubu’s Renewed Hope Agenda to enhance road safety, protect accident victims, and deepen Nigeria’s insurance culture.
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