NAICOM, Police Crack Down on Fake Motor Insurance Nationwide

The National Insurance Commission (NAICOM) has launched a nationwide clampdown on fake third-party motor insurance certificates, warning motorists to verify their policies or risk being stranded during claims.

The enforcement exercise, carried out yesterday at the Vehicle Inspection Office (VIO) headquarters in Mabushi, Abuja, followed a directive from the Inspector-General of Police mandating strict compliance with valid insurance coverage for all vehicles.

Officials of NAICOM, backed by security agencies, seized counterfeit certificates allegedly issued by unlicensed vendors at inspection points. Head of Market Development at NAICOM, Mr. Adeyemi Abubakar, said the racket posed serious dangers to motorists.

“People’s lives are being threatened because they pay for insurance but end up with fake certificates that provide no cover when they need to make claims. Imagine buying what you believe is genuine, only to discover later that the document is worthless,” he said.

Abubakar added that the exercise will not be limited to Abuja, as monitoring and enforcement will be extended across the country.

To help motorists avoid falling victim, NAICOM has introduced a digital verification app and code system that allows instant confirmation of an insurance certificate’s authenticity. The commission urged Nigerians to purchase policies only from licensed insurers, registered agents, or accredited offices.

“If you buy from unauthorized persons, you risk wasting your money and being left stranded during claims settlement,” Abubakar cautioned.

The commission also warned individuals involved in the sale of fake certificates to regularize their operations by registering as agents, brokers, or web aggregators, or face prosecution under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.

The initiative is expected to improve transparency, protect motorists, and reduce financial losses linked to fake documents in the sector.

By Oshuniran Sheriff Ola