The Federal Fire Service in Nigeria has decided to add fire insurance to its list of requirements for buildings. This decision came after a meeting between the National Insurance Commission (NAICOM) and the Federal Fire Service at the NAICOM headquarters. The objective of their meeting was to improve cooperation and strengthen their working relationship.
Fire insurance is a type of insurance that protects property owners from financial loss if their property is damaged or destroyed by fire. When someone has fire insurance and their property suffers fire damage, they can file a claim to receive compensation for the losses incurred.
In a statement, NAICOM explained that the Federal Fire Service is an important member of a committee focused on ensuring that public buildings and those still being built are insured properly. They have now agreed to make fire insurance a part of their checklist. This change is meant to encourage more compliance with insurance regulations and to help increase the number of people in Nigeria who have insurance.
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This partnership between the Federal Fire Service and NAICOM is expected to offer several benefits, including:
- Better Compensation for Building Collapse Victims: If a building collapses, having fire insurance means that there will be better financial support for those affected.
- Reducing Risks: By requiring fire insurance, they aim to take proactive steps to minimize the chances of fires and building collapses happening in the first place.
- Protecting Investments: Having insurance helps protect the money people invest in buildings by providing a safety net in case of disasters.
- Boosting Economic Growth: With more buildings properly insured, it can lead to more investment in construction and, consequently, create new jobs, contributing to the overall growth of Nigeria’s economy.
NAICOM noted that this new requirement will improve compliance with insurance laws, as building owners will now have to adhere to these new standards. It will also increase awareness about the importance of having insurance among those who own or are developing buildings.
The meeting that led to this agreement was led by Mr. Ekerete Ola Gam-Ikon, who is the Deputy Commissioner for Finance and Administration. He stressed the importance of teamwork between NAICOM and the Federal Fire Service to create a safer environment in Nigeria, where more properties are insured against risks like fire.
