News
Senate Proposes N50m Fine for Unlicensed Insurance Firms
The Senate has proposed a fine of N50m to the principal officers of insurance companies operating without valid licenses or that they be sentenced to a two-year prison term or both.
It proposed this in a bill sponsored by Senator Tokunbo Abiru (APC, Lagos East) and 40 others titled, ‘Nigeria Insurance Industry Reform Bill, 2024,’ which seeks an Act to repeal the Insurance Act, Cap117 2004, the Marine Insurance Act, Cap M3 Laws of the Federation of Nigeria 2004, the Nigeria Reinsurance Corporation Act, Cap, N131, Laws of the Federation of Nigeria, etc.
The bill which passed its second reading in July also proposed that any individual found engaging in unlicensed insurance activities will face a fine of N25,000,000 or imprisonment for up to two years, or both.
The bill states, “A person who transacts any insurance business without being licensed for that purpose under this bill commits an offence and is liable on conviction, in the case of an individual, to a fine of N25,000,000 or to imprisonment for two years or both.
“(b) a company, firm or other combination of persons, each principal officer of the company, firm or other combination of persons responsible to a fine of N50,000,000 or imprisonment for a term of two years; or to both.”
In addition to these punitive measures, the bill outlines stringent capital requirements that must be met by any entity wishing to operate in the insurance market.
Non-life insurance businesses must maintain a minimum capital of N25bn or a risk-based capital as the commission determines.
The Senate also set the minimum capital for life assurance businesses at N15bn, while reinsurance businesses are required to maintain a capital of N45bn.
These requirements, according to the sponsor, are designed to ensure that insurers possess the financial resilience necessary to meet their obligations.
The bill also mandates that any insurer intending to commence operations in Nigeria must deposit 50 per cent of the required minimum capital with the Central Bank of Nigeria.
It added that upon registration, 80 per cent of this deposit will be returned with interest within 60 days. Existing companies are required to deposit 10 per cent of the minimum capital with the CBN, with interest applied annually at the minimum lending rate.
To further protect consumers, the bill specifies that insurance policy documents must be delivered to the insured within five working days after the payment of premiums, or within 30 working days for special and industrial risk insurance.
Failure to comply with this provision will result in a fine of up to five per cent of the premium received, along with additional penalties as determined by the commission.
Insurers are also prohibited from denying claims based on policy terms or conditions if it is proven that the policy document was not delivered before the loss occurred, except in specific circumstances.
Moreover, the bill noted that the introduction of new insurance products will require prior approval from the commission, which must respond within 30 days of receiving an application.
If the commission fails to communicate its decision within this timeframe, the product will be deemed approved.
Insurers who introduce new products without the necessary approval will face daily fines of N5m for each day the violation continues.
The bill states that “A person shall not carry on insurance business in Nigeria unless the insurer has and maintains, while carrying on that business, a minimum capital in the case of non-life insurance business, the higher of N25,000,000,000.00, or risk-based capital determined from time to time by the commission.
“In the case of life assurance business, the higher of — N15,000,000,000, or risk-based capital determined from time to time by the commission.”
It further adds that “in the case of reinsurance business, the higher of N45,000,000,000, and risk-based capital determined from time to time by the commission.”
News
FDA Okays Elon Musk’s ‘Blindsight’ Brain Chip to Restore Vision for the Blind
Neuralink, the brain-chip company co-founded by Elon Musk, has achieved a significant milestone with its latest device, “Blindsight,” receiving the U.S. Food and Drug Administration’s (FDA) breakthrough designation.
This recognition highlights the potential of Blindsight to restore vision to individuals suffering from complete or partial blindness, including those with damaged optic nerves.
Blindsight is designed to help even those who have been blind since birth, provided their visual cortex remains functional.
Initially, the device is expected to offer low-resolution vision, but over time, it holds the potential for users to perceive advanced wavelengths like infrared and ultraviolet, offering possibilities beyond natural sight.
Neuralink, established in 2016, is pioneering brain-computer interfaces aimed at addressing neurological disorders. Its technology includes brain implants capable of reading neural signals and wirelessly transmitting them to external devices.
The company is also working on devices to assist paralyzed individuals in controlling digital tools using their thoughts.
Recent developments include the successful implantation of Neuralink’s brain-computer interface in a second patient, who is now able to control video games and design 3D objects using thought alone.
News
Nigeria’s Mpox Cases Mostly Affect Children, Men – NCDC
Mpox infections are disproportionately affecting children and males in Nigeria, according to recent data from the Nigeria Centre for Disease Control and Prevention (NCDC).
Since January 2024, males have accounted for 67% of Mpox cases, with men making up approximately 70% of the 6,001 suspected and confirmed cases recorded since September 2017.
The disease is spreading rapidly, with 1,031 suspected cases reported across 47 local government areas in 23 states and the Federal Capital Territory.
Children under five years old are among the most affected, followed by the 26-30 and 46-50 age groups.
Mpox is an infectious disease caused by the monkeypox virus, characterized by a painful rash, swollen lymph nodes, and fever. While most people recover fully, some may become seriously ill.
The disease can spread from animals to humans and between humans through close contact, respiratory droplets, and contaminated objects.
To combat the outbreak, Nigeria has received a donation of 10,000 doses of Jynneos, a Mpox vaccine, from the United States government.
News
Avanti Communications, IHS Nigeria Recognized with Universal Broadband Award for Connecting Rural Nigeria
Global multi-orbit satellite provider, Avanti Communications (“Avanti”), and IHS Nigeria, part of the IHS Holding Limited (NYSE: IHS) (“IHS Towers”) group, have been recognized for their work in connecting rural Nigeria at the 2024 World Space Business Awards.
Each year at World Space Business Week, Novaspace, a merger of Euroconsult and SpaceTec Partners, award the most forward-thinking businesses and innovations contributing to the future of the global space sector.
The Universal Broadband Award recognizes those committed to helping transform the lives of underserved communities.
Together, Avanti and IHS Nigeria have been helping improve the connectivity landscape across Nigeria, bringing broadband connectivity to rural communities nationwide, where the cost of traditional telecommunications networks can leave millions behind.
IHS Nigeria already has a strong footprint in Nigeria, operating over 16,000 towers across the country.
To help extend this reach, Avanti has been supplying the physical, transport and network layer for the transmission of cellular backhaul traffic to and from cellular towers, back to the core network of mobile network operators.
The partnership has delivered fast, cost-effective and reliable 3G and 4G connectivity to 700 rural sites across Nigeria, directly benefitting more than 3.5 million people.
Mohamad Darwish, CEO, IHS Nigeria, said, “We are deeply honored to receive this award, recognizing our commitment to innovation and social responsibility in expanding global connectivity.
As one of the largest independent tower companies globally, IHS Towers is dedicated to helping bridge the digital divide, particularly in Nigeria, where we operate more than 16,000 towers.
IHS Nigeria’s partnership with Avanti Communications has been pivotal in bringing broadband connectivity as well as delivering sustainable, reliable, and cost-effective solutions to rural areas. Together, we are striving to help transform lives by enabling digital inclusion, job creation, and driving socio-economic development across underserved and unserved communities.”
Kyle Whitehill, CEO at Avanti, said, “The mission to provide cost-effective, reliable, and sustainable internet solutions is more than a professional endeavour; it is a mission we each carry personally at Avanti. Access to the internet is not a luxury, it is a necessity.
“It opens doors to education, healthcare, economic opportunities, and global connectivity. For too long, the remote and hard-to-reach regions of Africa have been left in the dark, disconnected from the boundless potential connectivity brings.”
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