These are some of the frequently asked questions from the Pool and our responses:
Motor, Public/Product Liability, Workmen’s Compensation, General Third-Party Liability, Contingent Employers’ Liability, Occupiers/Builders’ Liability, Professional Indemnity, Directors’ and Officers’ Liability.
Arrangement between the Pool and members is akin to the Quota Share arrangement on the basis of 60/40.
Cession is the same for all policies except for Motor Comprehensive where 4.5% and Contractors’ All Risks where 15% of premium is ceded to the Pool to cater for the Liability aspects of the risks.
Cession to the Pool depends on how you rank the Pool; for instance, would you feed your treaty before thinking of the Pool or vice versa?
Some of the notable exclusions are participation in: (1) The own damage section of members’ motor policies (2) Exploration, drilling, processing of petroleum gasoline or related products and petrochemical products
The Pool’s arrangement with the members is on a Quota Share basis and does not support layered liability policies.
The Pool issues members Cover Note which forms part of the documents submitted to NAICOM on yearly basis.
These are not part of the standard covers; should there be request for this, members should notify the Pool to enable us liaise with our reinsurers.
Claims recovery are deducted directly by members at source. Where there is a Cash Call, the Pool reimburses members as soon as such request is made.
The Pool is a going concern with the objective of been in business for the future.
Members are owners of the Pool and they participate in its fortune with payment of annual surplus and consolidated surplus (at year five of the Pool’s rolling plan).
Members have a Five Hundred Million Naira (N500,000,000) cover on each of their liability insurance policies.
The Pool grants whooping 37.625% Commission (including 7.5% VAT on Commission) on all businesses ceded to the Pool.