NNPC Harvests 42 Bids For Assets Insurance
42 insurance companies have submitted bids for the 2020/2021 plum consolidated insurance package (CIP) of the Nigerian National Insurance Corporation (NNPC), which premium always runs into million of dollars annually.
At the bid opening witnessed by the Bureau of Public Procurement (BPP), the Nigeria Extractive Industries Transparency Initiative (NEITI), National Insurance Commission, and civil society organisations, the corporation’s Group Managing Director, Melle Kyari promised that each of the bids would be assessed on its own merit
‘The selection of insurer for the Nigerian National Petroleum Corporation’s (NNPC) assets in the 2020/2021 would be transparent, just as is the practice in other areas of the corporation’s operation nationwide'” Kyari said at the exercise that is expected to produce the lead insurer for the corporation’s oil assets for another year..
“I am reassuring this country and the rest of our stakeholders that we are poised to make sure that this company acts and works transparently; we will remain accountable to our stakeholders. As a matter of duty for me and the management team, we will deliver on this”, the GMD stated.
He advised the companies that participated in the bid to accept the results as only the best would emerge winner.
Also speaking at the event, the Chief Financial Officer of the corporation, Mr. Umar Ajiya, said a key attribute of an organization like the NNPC was the protection of human assets, adding that the exercise was in pursuance of that objective.
The corporation which will also open the bids of the insurance brokers on Thursday, had adopted open bidding for the insurance of its assets since the exposure in June 2010 of the inflation of the insurance premium paid on the CIP for over a period of ten years.
Industry will also wait to see whether the National Insurance Commission (NAICOM) will insist on the exclusion of The Wheel from this year insurance coverage as seen during the tenure of the immediate past Commissioner for Insurance, Mohammed Kari.
The Wheel, is an NNPC insurance subsidiary established without the approval of the federal government and located in Guernsey Island, one of the colonies of the United Kingdom widely known as a tax haven.
The Wheel has been described as illegal and its inclusion, has therefore been disallowed in the corporation’s CIP.
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