By Our Reporter
The Federal Executive Council (FEC) on Monday approved a N1.09 billion insurance package to protect staff and critical assets across all federal airports in Nigeria.
The decision, announced by the Minister of Aviation and Aerospace Development, Festus Keyamo, followed a council meeting presided over by President Bola Tinubu at the Presidential Villa.
Keyamo explained that the approval aligns with a directive from the Secretary to the Government of the Federation (SGF) requiring ministries and agencies to insure government assets.
He emphasised that the insurance coverage is essential for Nigerian airports to meet certification standards set by the International Civil Aviation Organization (ICAO).
“This initiative was driven by Mr. President’s insistence that we can no longer operate airports housing such valuable infrastructure without proper insurance safeguards,” Keyamo stated.
“For years, these assets and personnel remained unprotected, which contradicts global best practices in labor and infrastructure management.”
The insurance contract, valued at N1,097,137,102.48 (including 7.5% VAT), will take effect once the Federal Airports Authority of Nigeria (FAAN) pays the premium. Five insurance firms were selected through a competitive process: Leadway Assurance Company Limited will serve as the lead underwriter, supported by Cornerstone Insurance Plc, Linkage Assurance Plc, NEM Insurance Company, and Anchor Insurance Plc. The coverage will last for one year.
Discussion about this post