NAICOM Sacks Board, Management of African Alliance Insurance, Appoints Interim Management Board

*Says firm insolvent, unable to meet obligations to annuitants, policyholders for years*Declares action taken to protect the broader insurance industry, ensure company’s return to stability, compliance

James Emejo in Abuja and Ebere Nwoji in Lagos

The National Insurance Commission (NAICOM), yesterday sacked the board and management of African Alliance Insurance Plc, one of the country’s oldest life assurance companies.
The commission stated that the takeover, which took effect on October 30, 2024, exercised its regulatory powers, “following years of insolvency and failure to meet the obligations of annuitants and policyholders”.
In a statement, NAICOM further announced the appointment of an Interim Management Board (IMB) to manage the affairs of the embattled insurance firm.
The commission further explained that the decision to wield the big stick followed an extensive monitoring and review of the company’s financial condition, governance, and operational practices.
It said the investigation revealed significant concerns regarding its ability to continue operating safely and soundly which has for some time now generated a lot of “uncertainty over claims settlement and payment to annuitants under the company”.
Essentially, the IMB will oversee the company’s operations, ensure compliance with regulatory requirements, and implement necessary reforms.
The commission will also work closely with all stakeholders, including annuitants, policyholders, employees, and investors, to minimise disruption and ensure continuity.
NAICOM further explained that the objective of the takeover was to protect the interests of the company’s annuitants, policyholders, other stakeholders, and the broader insurance industry while ensuring the company’s return to stability and compliance.
The commission also reaffirmed its commitment to maintaining the stability and integrity of the Nigerian insurance industry.
It said, “Our actions today demonstrate our resolve to address concerns and protect the annuitants, policyholders and public interest.”
Meanwhile, Dr. Haruna Mustapha chairs the IMB with Mr. Jacob Erhabor as Managing Director/Chief Executive.
Others include Mr. Wasiu Amao who was named Executive Director, Technical; Ms. Oremeyi Longe-Executive Director, Finance; Mr. Anthony Achebe – Non-Executive, and Haj. Halimatu M. Khabeeb – Non-Executive Director.