Some families of Federal Government’s workers, who died serving the country, may not be compensated due to the untidy Group Life Insurance Policy (GLIP) cover for workers, it was learnt at the weekend.
It was gathered that those who sustained injuries in the course of serving the nation, may also not receive compensation, or get good treatment for their injuries.
According to Brokers under the auspices of the Nigerian Council of Registered Insurance Brokers (NCRIB), only 62 per cent of premium required by insurers from the Federal Government have been paid.
The cover for the 62 per cent premium, which legally speaking commenced in December 2016, will end in two months, December, 2017.
Industry analysts say insurance cover under the GLIP has been messy as a result of the disorderly premium payments by the government.
The no Premium, no cover policy enforced in the insurance industry, however, disallowed insurers from paying benefits or claims when loss of life or injuries occur.
Commenting on the development, NCRIB President, Sola Tinubu said: “What has happened in the year 2016 is that early this year about 42 per cent of the premium given to us was paid and about 60 days ago another 20 per cent was paid. “So, as at November 1 this year, about 62 per cent of the premium has been paid. It is worthy of note that the policy, which the 62 per cent was paid for, was supposed to have expired in August 2017 because the policy was constituted in August 2016. “But premium did not come until December 2016; meanwhile, underwriters are insisting that the policy started in December last year due to the ‘no premium, no cover’ directive by the regulator.
“So, legally speaking and effectively, the policy is still in force, but about 40 per cent of the premium is yet to be paid and the policy will expire in December this year.”
On the fate of employees, who are not covered as a result of the haphazard premium payment, Tinubu said it is the duty of an employer who failed to insure workers to design how to provide compensation for them and not the concern of the industry.