The regulator of the insurance sub-sector of the economy, the National Insurance Commission (NAICOM) has enjoined farmers and government functionaries to embrace insurance policies to protect themselves and others against unforseen risks.
The Head, Corporate Communications and Market Development, NAICOM, Abdulrasaaq Abdulsalami made the remark during the sensitisation program for top government functionaries, Khadis and Ulamas recently in Katsina State.
Abdulsalami said, “It is imperative to mention that we are in Katsina today to discuss the concept of Islamic insurance and forge this partnership with the government and people of Katsina State in order to pave way for the enforcement and implementation of the under listed insurances made compulsory by extant laws to guarantee the protection of the people of Katsina State.
“Full implementation of compulsory insurances will help the government cushion the effect of recurring fire inferno in different markets across the state which has been causing so much economic havoc on our traders and the government.
“One of the cardinal objectives of insurance is to protect us against such natural disasters.
“We cannot in some cases, stop it from happening but we can pre-empt and minimise its impact.
“Having the markets and goods insured will ensure stability and comfort for the people and also save the government some cost that ordinarily would have gone into compensating traders.
“TCFI did mention that going by the population of farmers in Katsina state, it is obvious that the State is a critical stakeholder in increasing insurance penetration and growth of the sector by ensuring that farmers are adequately protected.”
Quoted in a statement, he maintained that partnership with the Commission will be an opportunity to assist the State’s peasant farmers, traders and civil servants when they need it most.
Having highlighted the benefits of Islamic insurance, the NAICOM leader added that “with the introduction of Islamic insurance (Takaful) and Microtakaful for small businesses, Katsina state will not be let down by the insurance industry, we indeed need each other to grow,” saying “having Takaful Insurance as an alternative to conventional insurance makes it more beneficial that whatever you contribute is not lost at the end of the year.”
Abdulsalami disclosed that the Commission had licenced some Takaful insurance companies to operate in Nigeria providing cover for those who are averse to conventional insurance.
He added, “Some of these Takaful companies are here and have been provided with the opportunity to interface with participants and showcase their respective products.”
