ICRC, NAICOM partner on implementation of insurance provision for PPP assets

The Infrastructure Concession Regulatory Commission (ICRC) says it will partner with the National Insurance Commission (NAICOM) to ensure concessionaires procure insurance covers for assets under public-private partnership (PPP) arrangements.

According to a statement by Ifeanyi Nwoko, ICRC’s acting head of media and publicity, both organisations reached the agreement when Olusegun Omosehin, chief executive officer of NAICOM, visited Jobson Ewalefoh, director-general of ICRC.

Speaking at the meeting visit on Wednesday, Ewalefoh emphasised the need for all strategic assets of the federal government to be insured.

He said the insurance of PPP assets is mandatory as stipulated in section 7(2)a of the ICRC Act (2005).

Ewalefoh said the act states that the project proponent or contractor shall undertake an appropriate insurance policy on the concession with an insurance company approved by the NAICOM.

“We have to ensure that the concessionaires obtain the appropriate insurance policy that they are required by law to undertake in line with the value of the asset,” he said.

“Working in collaboration with NAICOM, we would be able to determine if the right insurance policy has been obtained.”

Ewalefoh said the ICRC is already asking concessionaires of new PPP projects to provide proof of insurance cover for the projects they seek to undertake.

The ICRC boss said the commission would now work out modalities in collaboration with NAICOM to ensure compliance by concessionaires of ongoing projects yet to procure insurance.

He said the modalities would be issued to all concessionaires by January 2025.

On his part, Omosehin said his commission is tasked with regulating and supervising the insurance sector in Nigeria, while also advising the government and its agencies on insurance matters.

He said the NAICOM is also responsible for ensuring that critical national assets have adequate insurance cover.

Omosehin said a key driver of the meeting was the position of the Ewalefoh on the insurance of PPP assets.

“We are here to forge that partnership that will enable that provision in the law to be enforced,” he said.

“I hope NAICOM and ICRC will use this opportunity to forge a quick alliance in ensuring that the partnership works in ensuring that the compliance part of the law works.”

Omosehin said NAICOM is willing to offer effective training to ICRC officers who were part of the joint technical committee appointed during the meeting.