Forty-Six insurance companies have escaped sanctions as prescribed by the insurance Act over late or non-submission of financial returns.
During the same period, accounts of three companies were still under review while another insurance company’s account was being processed for approval.
Information obtained from the regulator further showed that eight companies within the period in review were yet to submit their 2014 returns.
Under the 2003 insurance Act, filling of annual returns and accounts, all insurance and re-insurance companies shall submit to the Commission 3 copies each of duly audited financial statements and annual returns in prescribed forms.
The Act also said that late filling of annual returns as prescribed by section 26 of the Insurance Act 2003 constitutes a ground for cancellation of operating licence.
It clearly stated that all insurers shall be deemed to have failed to file its annual returns if provisions of S.26 of the insurance Act 2003 are not met 12 months after the end of the financial year.
However, information available disclosed that Alliance and General Insurance, Alliance and General Life Assurance are yet to submit their 2012,2013 and 2014 reports.
Also, International Energy Insurance (IEI) 2014 return is still outstanding while 2013 UNIC Insurance and NICON Insurance whose submitted returns that were queried are still awaiting response.
Similarly, SPRINGLIFE Insurance 2008 to 2012 response are under review.
The law also requires that all insurers and re-insurers shall within 30 days from the end of each quarter file management account of the operations as at the end of the quarter with the commission.
The Act stipulates that late filling of reports by companies shall attract a fine of N5,000 per day for each day of default, while failure to render quality return shall be a condition for cancellation of operating licence under section 8, of the insurance Act 2003.
However, it is not clear what the NAICOM intends to do to companies that did not meet the October 31 deadline for submission of returns.
But, a reliable source in the agency frowned at media report earlier which listed names of defaulting companies.
“The report gave names of companies as at October 26 even when we are still awaiting returns, and by 31st those whose names were already mentioned have submitted and cleared.
We want to appeal that the media apply caution and clarify issues before reporting” the source appealed.
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