The National Insurance Commission (NAICOM) has raised Third-Party insurance coverage for motorists from N5,000 to N15,000 yearly with effect from January 2023.
The approval is contained in a circular: NAICOM/DPR/CIR/46/2022 addressed to insurance companies and dated Dec. 22, 2022.
New Premium Rate for Motor Insurance and signed by the Director, Policy and Regulation, NAICOM, Mr Leo Akah, for the Commissioner for Insurance. The circular was addressed to insurance companies and dated Dec. 22, 2022.
“Pursuant to the exercise of its function of approving rates of insurance premium under Section 7 of NAICOM Act 1997 and other extant laws, the Commission hereby issues this circular on the new motor insurance premium rates effective from Jan. 1, 2023,” it stated.
The commission also stated that the Third Party Property Damage (TPPD) which is the limit of claims an insurer can enjoy on a policy for a private vehicle will now be N3 million for the new premium of N15,000. It stated that the limit for own goods would be N5 million, with a new premium of N20,000.
