The National Insurance Commission (NAICOM) has raised the Third Party Property Damage (TPPD) rate and premium on private cars to N3 million and N15, 000 respectively effective from January 1, 2023. The existing premium is N5, 000.
In a circular (NAICOM/DPR/CIR/46/2022) dated December 22, 2022 and signed by Mr. L. M. Akah, the Director, Policy & Regulations at NAICOM, the Commission said:
- 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 issue this circular on the new motor insurance premium rates effective from January 1, 2023.
- Third Party Insurance policies inclusive of ECOWAS Brown Card (EBC).
- Comprehensive motor insurance policy premium rate shall not be less than 5 percent of the sum insured after all rebates/discounts.
- Failure to comply with this circular shall attract appropriate regulatory sanction.
The new insurance premium rates also include claim of N3 million and premium of N20, 000 for Staff Bus; claim of N2 million and premium of N5, 000 for tricycles and claim of N1 million and premium of N3, 000 for motor cycles.