NAICOM Appoints Interim MD, Others After Sacking Board, Management of African Alliance Insurance
- NAICOM sacked the Board and Management of African Alliance Insurance Plc, one of Nigeria's oldest life assurance companies
- This occurred after years of insolvency and failure to meet the obligations of annuitants and policyholders
- This decision follows an extensive review of the company's financial condition, governance, and operational practices
Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.
African Alliance Insurance Plc, one of Nigeria's oldest life insurance businesses, had its board and management fired by the National Insurance Commission (NAICOM).
Source: Getty Images
This came after years of insolvency and noncompliance with policyholder and annuitant obligations.
As the main watchdog over the insurance industry, the Commission declared in a press release that as of October 30, 2024, it has assumed control of the Board and Management of African Alliance Insurance Plc.
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According to the commission, this decision comes after a thorough examination of the company's financial situation, governance, and operational procedures, which raised serious questions about its capacity to continue with safe and sound operations. This has led to a great deal of uncertainty surrounding the settlement of claims and payments to annuitants under the company.
Interim Management
The Commission has designated an Interim Management Board to oversee African Alliance Insurance Plc's operations.
The composition of the Interim Board includes; Dr. Haruna Mustapha - Chairman; Jacob Erhabor - MD/CEO; Wasiu Amao - Executive Director Technical; Oremeyi Longe - Executive Director, Finance; Anthony Achebe - Non-Executive and Halimatu M. Khabeeb - Non-Executive Director
It added that the company's operations, regulatory compliance, and essential reforms will be overseen by the Interim Management Board.
To reduce interruption and guarantee continuity, the Commission intends to collaborate closely with all parties involved, including annuitants, policyholders, staff, and investors.
The regulator stated that the takeover is to protect the interests of African Alliance Insurance Plc's annuitants, policyholders, other stakeholders, and the broader insurance industry while ensuring the company's return to stability and compliance.
With the recent announcement, the number of insurance companies in the country as decreased by one.
Tinubu Appoints Chairperson, Board Members For National Insurance Commission
Legit.ng earlier reported that President Bola Ahmed Tinubu has approved the appointment of Halima Kyari as Chairperson of the National Insurance Commission (NAICOM).
Tinubu also appointed six other qualified Nigerians as board members of the Commission.
The Special Adviser to the President on Media and Publicity, Chief Ajuri Ngelale, made this known in a statement posted on X (formerly known as Twitter) by Fredrick Nwabufo, the Senior Special Assistant to the President on Public Engagement @FredrickNwabufo on Friday, April 19.
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Source: Legit.ng
