NAICOM, Police move against fake motor insurance sellers

Barbara Bako, Abuja.

The National Insurance Commission (NAICOM), in collaboration with the Nigeria Police Force, has commenced a nationwide crackdown on individuals selling fake motor third-party insurance policies.

The enforcement operation, led by NAICOM’s Motor Third-Party Insurance Enforcement Committee, began with a raid in the Mabuchi area of Abuja, where suspected perpetrators of counterfeit insurance sales were apprehended.

The move follows a directive from the Inspector-General of Police mandating strict compliance with motor vehicle insurance regulations across the country.

Speaking during the exercise, Mr. Adeyemi Abubakar, Head of Market Development at NAICOM, said the clampdown was aimed at protecting Nigerians from fraudulent practices that deny victims of road accidents the compensation they are entitled to under genuine insurance coverage.

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“Genuine third-party motor insurance policies provide financial protection and compensation for accident victims, while fake policies leave citizens stranded in times of need,” he explained.

He further warned that selling insurance without a license is a criminal act, urging motorists to purchase policies only from licensed companies to avoid financial loss.

Those arrested during the operation will face prosecution under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, which prescribes fines and other penalties for offenders.

NAICOM reiterated its commitment to sanitizing the insurance market and advised the public to verify the authenticity of their policies using the Commission’s approved verification platforms.