The Lagos-Calabar road, one of Nigeria’s critical infrastructural projects, along with several other federal government initiatives, lacks insurance coverage, according to the Nigerian Council of Registered Insurance Brokers (NCRIB). This revelation was made by the Council’s President, Prince Babatunde Oguntade, during a press briefing held at the NCRIB headquarters in Lagos.
Oguntade noted that while billions are invested in these projects, insurance components are either overlooked or left unpaid. He emphasized that proper insurance could help the government reduce waste and protect its assets.
He explained, “Over the years, insurance is embedded in the budget, but premiums are not paid. Funds are often redirected into contracts, and these contracts themselves are left uninsured. For instance, the Lagos-Calabar road, a significant project, does not have an insurance component.”
The Council has engaged with key government officials, including the Minister of Finance, Mr. Wale Edun, and the Minister of Budget and Economic Planning, Senator Abubakar Bagudu, to address this issue. Discussions are ongoing with the Minister of Works, Senator David Umahi, to advocate for the inclusion of insurance in federal projects.
Oguntade also highlighted the Council’s strategic visits to other influential stakeholders, such as the Minister of Marine and Blue Economy, Alhaji Gboyega Oyetola, and the Commissioner for Insurance, Mr. Segun Omosehin. These engagements aim to foster relationships, promote the growth of the insurance sector, and enhance the credibility and influence of insurance brokers in Nigeria.
The Council’s efforts focus on building trust and understanding between stakeholders, ensuring that insurance becomes a vital component of national development projects. Oguntade concluded, “By strategically visiting influential people, the Council can effectively represent the interests of the entire industry, enhance business opportunities, and promote stronger partnerships.”
The lack of insurance for critical projects like the Lagos-Calabar road highlights the need for better implementation of budgeted insurance provisions to safeguard government investments and ensure the sustainability of national infrastructure.
