NAICOM, FRSC partner to enforce third-party vehicle insurance

The National Insurance Commission (NAICOM) and the Federal Road Safety Corps (FRSC) have formed a partnership aimed at ensuring compliance with mandatory third-party vehicle insurance in Nigeria.

The collaboration is designed to enhance road safety and protect motorists and third parties by enforcing existing insurance regulations.

At a joint Press Conference held in Abuja recently, Olusegun Omosehin, Commissioner for Insurance, highlighted that the Agencies had held extensive discussions on how to enhance road safety measures and enforce compliance with compulsory third-party motor insurance policies.

He said the partnership underscored their commitment to ensuring safer roads by leveraging regulatory oversight and enforcement capabilities.

The Nigeria Police commenced the nationwide enforcement of the third-party motor insurance policy on February 1, 2025, on the directive of IGP, Kayode Egbetokun.

Although this insurance requirement has been embedded in Nigerian law for some time, the renewed focus on enforcement has sparked widespread concern and discussions.

“As the Commissioner for insurance, I am giving my word that the insurance sector is up and doing and will be ready to meet all obligations,” Omosehin assured.

The Commissioner outlined the benefits of third-party motor insurance, highlighting both financial and non-financial advantages. Financially, victims of damage caused by insured vehicles are eligible for compensation up to ₦3 million. In cases of fatal accidents, the compensation is unlimited and determined based on the value of the deceased individual.

Beyond monetary benefits, policyholders also enjoy enhanced financial security, peace of mind knowing they are protected against unforeseen liabilities, and confidence in complying with government regulations.

He also announced that a help desk had been set up to take up all the complaints that would arise.

Shehu Mohammed, FRSC Corps Marshal, reaffirmed his Agency’s commitment to partnering with NAICOM, emphasising that enforcing third-party insurance is a core responsibility of the FRSC.

He noted that the policy was mandated under the National Road Traffic Regulation 2016, making it compulsory for all vehicle owners.

He added that FRSC operatives would intensify efforts to ensure that motorists comply with this requirement which is central to road safety, as provided in the law.