Lagos Pays Over Two Billion Naira As Insurance Premium In Eight Months

The Lagos State Government says it has paid over N2billion for insurance in the last eight months, stressing that the premium payment covers the life and non-life insurance plans of about 73,000 public servants.

The State Commissioner for Finance, Dr. Rabiu Olowo, disclosed this yesterday at a press briefing organised to herald the maiden edition of the Lagos State Civil Service Insurance Week’ at Bagauda Kaltho Press Centre, Alausa Ikeja.

He said the week-long activities with the theme, “If You Can Be Insured; We’ll Bear Your Risk”, has been organised in partnership with over 120 insurance brokers, who will cater for the Lagos public servants and the residents of the State.

His words: “In Lagos we have over 73,000 employees on our database from the Ministries and all these employees are covered under the life insurance plan. I can affirm to you that this year alone, we have paid over N2billion in insurance premium to cover life and non-life plans”.

“The State wants to re-envision the insurance and enable it to be culturally acceptable by everyone. We have also seen the benefits of engaging in insurance activities, during COVID-19 and the civil unrest where Lagos was the epicentre. Government property/assets were destroyed, and in some cases, injuries to our staff and associates”, he said.

The Commissioner explained that the Lagos State Insurance Week was conceptualised to underscore the importance of insurance, educate the populace about the government’s huge commitment to insure its workforce from the beginning of their career in the civil service till their retirement period.

“Insurance is compulsory in Lagos State for life and non-life insurance assets because it is one of the ways that we manage risk in Lagos State and it is not an issue of optionality for anyone particularly the State Civil Servants”, he stated.

Dr. Olowo stressed that the State government had enjoyed the real essence and value proposition of insurance in the last few years and would further its commitment to ensuring that insurance activity is more strengthened in the State.

He said that the concept of the insurance week was to incorporate the large portion of the State’s workforce, who are not fully aware of the importance of an insurance plan, noting that this would relieve the State government of the unwanted burden of insurance claims.

The Commissioner said, “Today, the State government has a huge burden because during fire incidents in market places, the burden falls on the government by paying compensation to the affected victims, which should have ordinarily been taken care of by the insurance companies”.

“What happens in other climes, when such incidents happen, is that the insurance industry takes care of those claims and the government can use its money to build hospital roads or divert the money into other developmental activities. As such, we need to imbibe the principle of insurance and appreciate its economic value to everyone”, Olowo noted.

Earlier, the Commissioner for Information and Strategy, Mr. Gbenga Omotoso, who was represented by the Permanent Secretary, Mr. Olusina Thorpe, said insurance is vital to businesses and the 21st Century Economy as its advantages could not be over-emphasised.

He said Lagos State Government has been proactive in providing necessary insurance plans for its workers and assets across the metropolis.

Also speaking at the event, the Permanent Secretary, Ministry of Finance, Mrs. Oyeyemi Ayoola, said that the organisation of the maiden Insurance Week shows that the leadership of the Ministry is embracing new initiatives that will further promote governance and truly position Lagos State as a 21st Century compliant State.

She added that the approval of the event by Governor Sanwo-Olu demonstrated his belief in the culture of insurance and also show his love for the security of lives and property of the entire workforce and Lagosians as a whole.

The planned activities for the week-long event include Lectures and Exhibitions to be held on Tuesday, 24th and Wednesday, 25th August 2021, at the Adeyemi-Bero Auditorium, Alausa, while the grand finale of the event will hold on Thursday, 26th of August, 2021 with the State Governor, Mr. Babajide Sanwo-Olu, as the Special Guest of Honour at the Blue Roof, LTV, Ikeja.