THE NIGEIUAN COUNCIL OF REGISTERED INSURANCE BROKERS BILL, 2003
EXPLANATORY MEMORANDUM
This Bill seeks to provide for the establishment of the Nigerian Council of Registered Insurance Brokers and also 10r the transfer of all assets in custody of the Incorporated Association to the Council.
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THE NIGERIAN COUNCIL OF REGISTERED INSURANCE BROKERS BILL, 200) t/
All.ltANUliMliNT OJ' CLAUSLJ.';
Clause; PART l-Es"l'ABUSIIMliNT OF 1'1lU CoUNCIL
1. Bstablishment of tbe Council 2. Duties of the Council
PART II-GOVERNING BOARDOF 11m COUNCIL ETC
3. Governing Board of theCouncil 4. Election of President and Vice Presidents
PART IIl-RliG1STRAT10N 01' INS\J!I.ANCIi BROKIiRS
S. Registration of insurance brokers 6. Qualification Ior registration 7. List of bodies corporate carrying 011 business as insurance brokers
8. Refusal of insurance brokers application by the Council 9. Register and List 10, Publication of register and list 11. Election of Honorary Fellows and Associates
PART IV-ExOCUT1VH SUCRIlTARY ANDornua STArr
12. Executive Secretary and staff 13. Regulation of professional conduct
PART V -FUNL) OF Tim Ccuscn. 14. Fund of the Council
PART VI-Mum; OF OPERATION OF PRACnClN(i INSlJRANCU BIWKIiRS ANI) EN!\OLLEI) BODY CORPORATE
15. Requirement for carrying on business 16. Preliminary investigation of disciplinary cases 17. Disciplinary Committee 18. Erasure from the Register and List for crime, unprofessional conduct, etc. 19. Restoration of names erased as a result of disciplinary cases, etc. 20. Erasure from the Register and List on ground of fraud or error 21, Appeals in disciplinary and other cases 22. Procedure of Disciplinary Committee 23, Assessors to Disciplinary Committee 24. General power to appoint a Commiucc
PART Vll-RESTRK"flON ON USE OF TlTl.ES AND DESCRWl'IONS
25. Penalty for pretending to be registered, etc. 26, Exceptions 27, Offences by bodies corporate 28. Falsestatement
PART V1ll-Ml. Citation.
rue NIGERIAN COUNCIL OF REGISTERE!) INSURANCE BROKERS, BILL 1003 A BILL
FOR
AN ACT TO PROVIDE FOR THE ESTABLISHMENT OF THE NIGERIAN COUNCIL OF REGISTERED INSURANCE BROKERS AND FOR TIlE TRANSFER OF ALL ASSETS IN
CUSTODY OFTIIE INCORPORA TED ASSOCIA nON TO TIlE COUNCIL; AND FOR RELATED MATTERS
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EI'lACTI:D BY TIlENational Assembly of the Federal Republic of Nigerla-.
PART I-EsT/lllLlSHMliNl' OF Tim COUNCIL
1.-(1) There is established a body to be known as the Nigerian Council of Registered Insurance Brokers (in this Bill referred (0 as "the Council").
(2)Thc Councll-.
(a) shall be a body corporate:
(b) shall have perpetual succession and a common seal; and
(c) may sue and be sued in its corporate name,
2. The duties of me Council shall be 10-
(a) establish and maintain a central organization for Insurance Brokers;
(b) enrol insurance broklng body corporate; and
(c) may secure in accordance with the provisions of this Bill the establishment and maintenance of a register of Insurance Brokers containing the names, addresses and qualifications and such other particulars as may be prescribed of all persons who having applied in the prescribed manner, are entitled under the provisions of this Bill to be registered and the publication from time to time of the lists of these persons:
(d) shall encourage the dissemination of knowledge, education, practical training and research into the profession;
(e) may establish and maintain a library;
(j) may arbitrate or settle dispute or questions between members and other panics and discipline of members;
(8) may do such things from time to time aimed at elevating the status of Insurance Brokers and the protection of their interests and procure their general efficiency and proper professional conduct; and
(h) shall perform through the Governing Board established by section 3 (I) of this Act the functions conferred on it.
PART II-GOVERNING BO/>ROOF COUNClLETC
3.-(1) There is established for the Council a Governing Board ill this Bill referred to as "the Board") which shall be charged with the administration and general management of the Council.
(2) The Governing Boanl shall consist of the following members=
(a) the President of the Council who shall bc the Chairman:
0,) lhf' nf'nlliv ami Vir.f'Prf'~idt'nl" nf lht' r:llllucil·
] Commence- ment.
Establisbment of the Ccunell.
Duties or the Coaucn.
Governillg Board.
(a) as to his character and suitability to be a registered insurance broker, and
(0) that he has had 5 years practical experience in the insurance industry. (3) A Registered insurance broker simi I be eligible tu use the title Y Registered Insurance Brokers" ,
(4) Sublccr to the provisions of this Dill ami rules made by the Council, members of the Council shall be classified into four catcgories-.
(a) Fellows;
(b) Associates;
(c) Ordinal)' members; and
(d) Student members.
(5) Persons awarded any of the titles stipulated in this section shall be entitled to usc Ihe initials "Fcm'" (Fellow, Council of Register cd Insurance Brokers) ••ACm" (Associate Cuuncil of the Registered Insurance Brokers) as thc case may be,
7.-(1) TheCouncil shall establish and maintain a list of bodies corporate carrying on business as insurance brokers (in this Bill referred to as "the List") containing the names, principal places of business and such other particulars as may be prescribed by the Council.
(2) Subject to subsection (3) of this section and section 15 (I) of this Bill, a body corporate shall be entitled to be enrolled in uus list if it satisfies the Council that-
(a) at least one partner or director is a registered insurance broker; and
(0) it is a limited liability company incorporated in Nigeria. (3) Anenrojlcd body corporate shall be eligible 10usc the title of "Incorporated Registered Insurance
Brokers" .
(4) Enrolment ill ,the List shall be a condition precedent to the licensing of a body corporate by the National Insurance Commission.
8.-(1) An application for registration under section 5 of this Bill or an application for enrolment under section 6 of this Bill shall not be refused unless the Council gives the person by whom or the body corporate by which the application was made an opportunity to appear before it, and be heard by a Committee of the Council.
(2) Where the Council refuses any such application within seven days of its decision, it shall notify the applicant of its decision.
(3) A person or body corporate whose application is so refused may within twenty-eight days Jrom the date of notification of the decision appeal against the decision in a Court.
(4) On hearing such appeal the Court may make such order or orders as it thinks III and the order shall be final.
9.-(1) The Register and List shall be kept by the Executive Secretary of the Council who shall be appointed by the Council.
(2) The Council may make rules with respect to the form and manner of keeping the Register and List and the making of entries ami alterations and in particular-
(a) regulate the making of applications for registration of enrolment;
(b) notify the Bxecuuvc Secretary of any change ill the particulars required 10 be entered ill the Register or List;
(c) prescribe a fee to be charged on the entry of a name in, or the restoration of a name to, the Register or List:
Lilli or bodies corp•.••.ale tl\ttying {III business lIS Insurance broken.
Rerusalor Insurance broken "I'plicllli,,,, by the Ceuucll,
Supplemen· tary proylslons 10 the Register IIDd Usl.
(c) a representative of tllC Federal Ministry responsible for insurance mailers nOI below the milk of a Director;
(d) a representative of the Federal Ministry of Education nut below the rank of a Director; (e) a representative of the National Insurance Commission not below the rank of a Director;
fJ) past Presidents of the Corporation;
(g) not more than eight other elected Members;
(h) not more than six Chairmen of the Council Area Committees;
(i) the Executive Secretary of the Council who shall also be the Chief Executive OffiCCI' of the Council; and
(J) other members not exceeding two as may be co-opted by OICGoverning Board. (3) TIle Chairman and Members of the Board slmll be elected at the Annual General Meeting of the
Council.
(4) The provisions of the First Schedule to this Bill shall have effect with respect to the qualifications F;irstiSchedul~- and tenure of office of members of the Council and other matters.
(5) Regulations made by the Council with the approval of the Minister may provide for an increase or reduction in members of the Board and may make such amendments to subsection (2) of this section and the Schedules to this Bill as the M Inister considers expedient for the purposes of or in consequence of the increase or reduction.
PART In-ELECTION OF PRP..s\l)ENT, DEPlITYAND VICE-PRESIDENTS 01: ruu COUNCIL
4. There shall be for the Council-
(a) a President;
(b) a Deputy President; and
(c) a Vice-President who shall be elected for a term of one year and may be re-elected for another term only.
PART IV-REGISTRATION 01' INSURANCE BROKlJRS
5.-(1) The Council shall establish and maintain a register of insurance brokers (in this Bill referred to as ("the Register").
(2) The Register shall contain names, addresses. qualifications and other particulars as may be prescribed. of all persons who are entitled under tile provisions of this Bill to be registered and applied in the prescribed manner to be so registered.
(3) No person shall be registered by the Council as a registered insurance broker unless he satisfies the provision of section 6 of this Bill.
6.-(1) Subject to subsection (2) of uils section, a person for registration shall be entitled to be registered as a broker ir he satisfies the Council-
(0) that he is an associate of the Chartered Insurance Institute of Nigeria or identical body outside Nigeria and recognized by the Institute;
(b) that he possesses a certificate issued by the Council after passing examination prescribed by the Council for Insurance Brokers; or
(c) that he possesses the certificate of the Chartered Insurance Institute of Nigeria as an insurance broker and is a Chief Executive of all insurance broking company registered under the Insurance Decree 1997 and held such a position before coming into force of this Bill.
(2) A person shall not he entitled 10 be registered ill the Register by virtue of subsccuou (1) above unless to also satisfies the Ccuncil-.
Election "f President, Deputy l'md Vk:e· Presideol'l.
Registration of insllr1lDU brOkers.
Quallrlutious (/()-.rOl
IBRAHIM SALIM, CON Clerk to the National Assembly ••--II, June, 2003
ASSENT, CHIEF OLUSEGUN OBAS NJO, GCFR• pr~";~i!!/he Federal Repu lieofNigeriaIf 2003
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