The National Insurance Commission (NAICOM) has announced intensified efforts to enforce compulsory insurance coverage for public buildings and those under construction across Nigeria. This move aims to strengthen safety standards, risk management, and regulatory compliance within the country’s built environment.
The announcement was made at the 4th meeting of the Joint Committee on Insurance for Public Buildings and Buildings Under Construction, held recently in Abuja. The meeting convened key stakeholders from the insurance sector, fire services, quantity surveying profession, and regulatory bodies to review progress on implementation and enforcement strategies.
Deputy Commissioner for Insurance (Finance and Administration), Ekerete Gam-Ikon, who chaired the meeting, revealed that NAICOM’s enforcement efforts have progressed from third-party motor insurance to now targeting public buildings and construction projects. He emphasized the critical need for collaboration among agencies such as Development Control to ensure effective compliance.
“We have commenced enforcement with third-party motor insurance, and we are now extending our efforts to public buildings and buildings under construction,” Gam-Ikon stated.
“This work cannot be done in isolation. The collaboration with agencies like Development Control is crucial if we want to see real impact.”
One of the central concerns addressed during the meeting was the need for proper documentation and approval before insurance policies can be issued. The Development Control unit was tasked to establish a comprehensive database of public buildings and ongoing construction projects to guarantee that only projects with valid regulatory clearance are insured.
“Only buildings with approved documents should be insured. We must avoid a situation where buildings are insured without proper regulatory clearance,” Gam-Ikon stressed.
The Director of Legal Enforcement and Market Development at NAICOM, Talmiz Usman, echoed the importance of collective responsibility among committee members, recognizing their role in supporting the commission’s enforcement mandate.
“Your continued involvement is key to achieving the commission’s objectives. We must work together to strengthen the enforcement of compulsory building insurance to safeguard lives, assets, and investments,” Usman said.
The meeting highlighted the importance of risk assessment, proper documentation, and adequate insurance coverage before approvals. Representatives from the Federal Fire Service underscored the role of insurance in mitigating the devastating impacts of fire and other hazards on public infrastructure.
NAICOM’s move to enforce compulsory insurance for public buildings aligns with global best practices where insurance safeguards public assets against unforeseen risks. This initiative also supports Nigeria’s broader efforts to improve safety standards, protect investments, and reduce the financial burden on government and citizens when disasters strike.
The commission’s enforcement strategy will include public awareness campaigns, data sharing among agencies, and stricter penalties for non-compliance. These measures are designed to close loopholes that have previously allowed uninsured buildings to operate, thereby exposing public resources and citizens to significant risk.
Experts note that compulsory insurance for buildings—especially public infrastructure—is vital in Nigeria’s rapidly urbanizing environment where construction projects abound, and the potential for accidents remains high.
Furthermore, NAICOM’s commitment comes amid rising concerns about infrastructure safety and disaster preparedness in Nigerian cities. According to recent reports, uninsured buildings can lead to lengthy litigation and financial losses following incidents like fire outbreaks, structural failures, and other emergencies.
The enforcement of mandatory insurance for public buildings and buildings under construction is expected to foster greater transparency and accountability within the construction and insurance industries. It will also boost investor confidence by assuring that public assets are adequately protected.
As NAICOM continues to collaborate with stakeholders, this initiative signals a significant step toward enhancing Nigeria’s risk management framework in the built environment.