By 
Directors of insurance firms have been encouraged by the National Insurance Commission (NAICOM) to adhere to ethical standards in their operations.
Speaking at the 2023 Insurance Directors Conference in Lagos, themed ‘The Board and Insurance Business Sustainability,’ Mr. Sunday Thomas, the Commissioner for Insurance and Chief Executive of NAICOM, emphasized the importance of implementing policies and measures that promote the observance of environmental, social, and governance (ESG) principles and standards. He stressed that the failure to do so poses shared risks to insurers, businesses, governments, and society.
Mr. Thomas highlighted the significance of aligning business operations with ethical standards, not only to fulfill societal responsibilities but also to strengthen brands and foster customer loyalty. He noted that many issues leading to the collapse of companies result from governance challenges and urged directors to prioritize ethical practices.
The President and Chairman of the Council, Chartered Insurance Institute of Nigeria, Mr. Edwin Igbiti, emphasized the critical agenda of sustainability in all sectors, including the insurance industry. He underscored the need to balance economic growth with environmental and social responsibility, pointing out that technology plays a pivotal role in accurately assessing and managing risks.
Dr. Elias Omondi, the Principal for Innovative for Resilience at FSD Africa, emphasized the importance of insurance supervision in maintaining key components of market stability and growth. He advocated for risk-based supervision to identify and quantify the net risks faced by insurance companies, addressing and resolving them effectively to ensure a sound financial system base.
In conclusion, the conference highlighted the role of directors in fostering sustainability through ethical practices, technology adoption, and effective supervision to ensure the resilience and growth of the insurance industry.
Comments