FG designs compensation schemes for victims of hit-and-run

Gbola Subair, Abuja - 18.03.2008

THE Federal Government has designed compensation schemes for the victims of hit-and-run drivers as it disclosed that over 90 per cent vehicle insurance papers are fake.

As a result, holders of fake vehicle insurance have been given one month to replace it with genuine one or face the full wrath of the law.

Commissioner for Insurance, Mr. Fola Daniel, speaking at the launching of Motor Accident Victims Insurance Compensation Scheme (MAVICS) and the presentation of N50,000 compensation each to two victims, said the presentation was the beginning of the National Insurance Commission (NAICOM) quest to change the face of insurance in the country as contained in the Section 78 (b) of the 2003 Insurance Act.

He said the frequency of accidents on Nigerian roads, especially the loss of lives associated with them, had compelled the commission into giving effect to the relevant provision of the act designed to cater for victims of hit and run and uninsured vehicles

The NAICOM boss disclosed that a combination of the provisions of section 68 of the 2003 insurance act and the 1950 third party insurance act made it mandatory for all motorists to have an insurance cover for any liabilities they may incur against third parties either for death, personal injury or damage to property.

However, he said despite the provision of the act, some motorists, in defiance, refused to obtain this compulsory insurance policy

On the N100, 000 to the two victims of hit-and-run drivers (Mrs. Chichi Chukwudi and Mrs. Agnes Akara), Mr. Daniel said it was aimed at actualising the provision of the section of the act and to sensitise Nigerians on their right in this regard.

In doing this, the NAICOM boss said the commission was working in conjunction with Oscar, a unit of SERVICOM, which had been charged with the responsibility of securing compensation for road accident victims.