Following the growing wave of insecurity in the country coupled with the persistent terrorist attacks in some parts of the country, insurance operators may be working in the direction of introducing? insurance cover to protect citizens against hazards of terrorism.
This, according to operators would ensure that dependants of anyone covered by this policy were not further subjected to the agony of a devastated future that may arise following the loss of a family’s breadwinner.
This would include specialised insurance solutions designed to address unique complications that organisations face when operating in high risk areas of the country.
Coverage available, according to them, would include cover for full range of? groups and individual needs with special coverage extensions for business interruption that occured as a result of acts of clashes, attacks or terrorism.
The Managing Director, Standard Alliance Life Assurance, Mr. Anthony Enajemo-Isire, said insurers have returned to the drawing board to establish a product that would take care of loss as? a result of terrorism, most especially, Boko Haram attacks.
“As a practitioner in the industry, my words are in support of development of the product.? I can assure you that a lot of work is going on towards providing cover for flood, terrorism, even some known terminal ailments. In recent time, we are also looking at developing insurance product to mitigate sudden shock in the stock market and sharp frustration in investment. With a little bit of patient, we should be able to come out with all these in the nearest future.
“Although, insurance cover risks, but there are always exclusions. If you have a special policy that covers terrorism, and you are affected by it, you would be properly indemnified. But in most of our products, we have exclusion clause. If you are covered against natural death, things that have to do with war we exclude them. But if it is with mutual agreement, we will provide the cover.
“Also, note that there is nothing that happens in the economy that does not affect every body. Therefore, either by a way of shock from activities of terrorist act – Boko Haram – a natural death would occur. If somebody dies by a natural cause, unknown to the insurer that it is as a result of shock from terrorism, would not I pay the claims? Therefore, we are directly or indirectly affected and that pushes our claims settlement.
“We will consolidate on the existing structures and strategies to reach out to potential clients who desire our products,” he said.
The Acting Managing Director and Chief Executive Officer, FBN Insurance Brokers, Fidelis Ojeah, speaking in the same vein said that his company and some others wanted to be at the forefront of human capital development, providing knowledge foundation for people to understand and appreciate violent insurance as emerging risk in Nigerian society.
“This is an emerging risk and we want to make sure our people understand it to be able to mitigate the risk because information is necessary,” he noted
Ojeah added that the risk used to be excluded from normal insurance policies, but the firms were now offering it at low prices.
He noted that bombing of police headquarters especially, and in many parts of the north and other terrorist attacks here and there, were signals that insurers must begin to build the capacity now to enable them plan on how to mitigate it.