Connect with us

Business

NAICOM approves two Takaful insurance companies

Published

on

NAICOM restructures, creates new directorates

The National Insurance Commission (NAICOM) on Monday said it had granted approval in principle (AiP) to two Takaful insurance firms.

The companies are: Cornerstone Takaful Insurance Company Limited and Salam Takaful Insurance Company Limited.

The approval gave them the opportunity to operate as Composite Takaful operators to transact both family and general Takaful businesses in Nigeria.

A statement by NAICOM said, the new development brought the total number of wholly Takaful operators to four.

In 2016, licenses were granted to Noor Takaful and Jaiz Takaful respectively.

The statement also noted that the AiP to the two new companies was in line with the Commission’s drive for inclusion towards increasing insurance penetration in the country.

Read also: FIRS accounts for 60% of Nigeria’s total revenue in three months — RMAFC

It was gathered that a final operating licence would be issued to the companies upon provision of evidence of the following: Conducive business environment at their Head offices; an appropriate IT infrastructure and appointment of a head of IT; appointment of key personnel and submission of first set of products for Commission’s approval.

The statement also said that NAICOM was processing more applications for possible approvals.

Takaful is a type of Islamic insurance wherein members contribute money into a pool system to guarantee each other against loss or damage.

Takaful-branded insurance is based on sharia or Islamic religious law, and its policies cover health, life, and general insurance needs.

Takaful insurance companies were introduced as an alternative to those in the commercial insurance industry, which are believed to go against Islamic restrictions on riba (interest), and others.

Join the conversation

Opinions

Support Ripples Nigeria, hold up solutions journalism

Balanced, fearless journalism driven by data comes at huge financial costs.

As a media platform, we hold leadership accountable and will not trade the right to press freedom and free speech for a piece of cake.

If you like what we do, and are ready to uphold solutions journalism, kindly donate to the Ripples Nigeria cause.

Your support would help to ensure that citizens and institutions continue to have free access to credible and reliable information for societal development.

Donate Now

Click to comment

Leave a Reply

Your email address will not be published.

eight + nine =

Investigations