FG’s Insurance Contracts Hit ₦10bn Since May 2023
The Federal Government has spent over ₦10 billion on insurance contracts covering government workers and public assets since May 2023, highlighting renewed efforts to safeguard personnel and critical infrastructure.
The expenditure covers various insurance policies taken by government agencies to protect employees, buildings, vehicles, and other strategic assets against risks such as accidents, damage, and loss. The move is in line with statutory requirements mandating insurance coverage for public sector operations.
Officials familiar with the development said the contracts were awarded to Nigerian insurance firms, a step aimed at strengthening the local insurance industry while ensuring adequate risk management across government establishments.
The insurance coverage is expected to provide financial protection for civil servants and reduce the burden on government finances in the event of unforeseen incidents. It also reflects the administration’s commitment to compliance with existing insurance laws and improved asset management.
However, the spending has sparked public debate, with some Nigerians calling for greater transparency and accountability in the award and execution of the contracts, especially amid economic challenges facing the country.
The Federal Government has maintained that the insurance policies are necessary to protect public investments and ensure the welfare of government workers, adding that proper oversight mechanisms are in place to guarantee value for money.
