FG to insure FAAN critical infrastructure with N1.09 bn
The Federal Executive Council (FEC) has approved the sum of N1. 09 billion for the insurance coverage of Federal Airport Authority of Nigeria (FAAN) critical infrastructure across the country.
The Minister of Aviation and Aerospace Development, Mr Festus Keyamo, disclosed this after the Federal Executive Council (FEC) meeting presided over by President Bola Ahmed Tinubu.
Keyamo told State House reporters that the move was to meet the demand of the Secretary to the Government of the Federation, who had long since written to ministries and agencies “mandating them to insure critical assets of government.”
The minister stated that one of the requirements of the International Civil Aviation Organization (ICAO) was that airports should be insured to get its certification.
The insurance contract, valued at N1,097,137,102.48 (inclusive of 7.5% VAT), will be executed over a one-year period, commencing upon premium payment by FAAN.
According to him, following a rigorous selection process, five leading Nigerian insurance firms were chosen for the coverage. There are; Leadway Assurance Company Limited as the lead underwriters while the co-Underwriters are Cornerstone Insurance Plc, Linkage Assurance Plc, NEM Insurance Company and Anchor Insurance Plc.
