The National Insurance Commission, NAICOM, has questioned the financial reports of Zenith Life Assurance Company, Zenith General Insurance Company and Equity Assurance Plc.
NAICOM had on April 19, 2018, released a financial report for 2017 on the status of some insurance companies. However, KBL Insurance, Linkage Assurance, Mutual Benefits Life Assurance and Mutual Benefits Assurance Plc are still under review.
The financial results of the affected insurance companies, according to NAICOM, were yet to follow to requirements of the International Financial Reporting Standards, IFRS.
Also, financial results of Old Mutual Nigeria Life and Old Mutual Nigeria General Life are undergoing supervisory review while that of Great Nigeria Insurance as well as Niger Insurance are undergoing analyst review. The reviews are putting the operators in the industry in frenzy as big sticks could be handed down on errant companies.
Companies whose financial results have been approved are Continental Reinsurance Plc, Custodian Life Assurance Plc, Custodian and Allied Insurance, FBN General Insurance, FBN Life Insurance, Axa Mansard, Regency Alliance Insurance, Law Union & Rock, Wapic Insurance, Nem Insurance, Lasaco Assurance, Prestige Assurance, Consolidated Hallmark, Ensure Insurance, Aiico Insurance, Guinea Insurance, Wapic Life Insurance, as well as Leadway Assurance.
Meanwhile, companies that are yet to submit their accounts have up to June 30, 2018 to do so while failure to comply will result to a daily fine of N5,000.
The Insurance Act 2003 requires insurance firms to submit their financial statements on or before June 30th every year, or face daily fine of N5,000 for each day of default awaiting when they are able to comply.