RIFAN raises alarm over unethical practices amid NIIP implementation
By Esther Agbo
The Retail Insured Family Association of Nigeria (RIFAN), a prominent consumer association in the insurance sector, has voiced serious concerns regarding the implementation of third-party insurance integration with the Nigerian Insurance Industry Portal (NIIP).
In a recent statement, RIFAN Director-General, Ali Theophilus expressed dismay over what he termed as poor coordination, which he believes could potentially undermine efforts to restore public trust in the insurance industry.
The Director-General of RIFAN, Ali Theophilus, talked about the situation following a stakeholders’ meeting at their Abuja headquarters.
He acknowledged worries that an innovation intended to restore the damaged reputation of the insurance industry could face significant sabotage, particularly from unlicensed insurance agents, if not managed carefully.
He specifically pointed out instances where these agents have allegedly engaged Vehicle Inspection Officers (VIO) in Abuja and its environs, selling unauthorised cooperative insurance policies.
Theophilus urged immediate intervention from relevant authorities to stem this trend before it gains further ground.
While acknowledging the innovation behind the NIIP integration, RIFAN emphasised the necessity for comprehensive training and strict implementation measures to prevent unlicensed agents from infiltrating the market.
He further emphasised the need for immediate action by the NIA to prevent the looming threat, noting that his previous concerns are now becoming reality.
He pointed out that several licensing offices in Abuja and other states are beginning to favour unlicensed insurance agents selling cooperative insurance policies under the misconception of lower costs.
He also urged the NIA to intervene with some of its members and underwriters who, driven by personal gain and unhealthy competition, are undermining the innovation aimed at restoring the industry’s reputation.
In essence, the Association of Registered Insurance Agents (ARIAN) should urgently implement an operation he termed “Operation Show Your License,” emphasising that operating as an insurance agent without a licence is illegal under the insurance act, constituting offences and crimes.
He added that pursuing this initiative diligently could assist NAICOM in reaching its target of 3 million agents by year-end.
He reiterated RIFAN’s readiness to collaborate with NAICOM, NIA, ARIAN, and other stakeholders to monitor agents’ activities in the industry, aiming to restore policyholders’ confidence.
Regarding technology, he mentioned that the RIFAN portal is nearing 95% completion, assuring that it will soon be launched.
This portal will provide a buyer platform for seamless policy purchases with underwriters and NIA oversight, aiming to restore public confidence in insurance.
