‘NSITF success not measured by claims, compensation alone’

The Nigeria Social Insurance Trust Fund (NSITF) has explained that the payment of claims and compensations do not alone measure the success of the organisation, as the prevention of accidents is the first process in employees’ compensation.

“The prevention of accidents through robust occupational safety and health(OSH) programmes is the first step in the processes of the Employees’ Compensation. The payment of claims and compensations is therefore inversely proportional to this,” it said.

The Fund offered the explanation through its Executive Director, Finance and Investment, Adegoke Adediji, while receiving members of the Nigeria Council of Registered Insurance Brokers (NCRIB) on behalf of the Managing Director of the NSITF, Maureen Allagoa Esq.

According to a statement by General Manager, Corporate Affairs Nwachukwu Godson, Adedeji who cleared the air over a recent misconception about the mandate of the NSITF in a section of the press, said, the successes of the Fund cannot alone be measured by the amount paid as claims and compensations because effective OSH programmes slow down workplace accidents.

“Measuring the progress of the NSITF by the number of claims and compensations paid is a very poor grasp of our mandate and operations. By ECA 2010, occupational safety and health is in inverse proportion to claims and compensations. When the occupational safety and health programmes(OSH) are top notch and producing results, the rate of workplace accidents that trigger claims and compensations declines. When OSH is not active, the reverse becomes the case.

“A well-managed NSITF primarily seeks the reduction of workplace accidents. This is the first step our management takes through a robust pursuit of occupational safety and health programmes. But if accident occurs, we follow up with rehabilitation. Then payment of claims and compensations, where necessary.

“And the NSITF has been discharging all obligations on the payment of compensations to employees and their dependents for death, injury, disability arising out of or in the course of employment. We rehabilitate those who suffer workplace disabilities.

“In fact, we have a case in hand where we’ve paid close to 70 million at N1.3 million every month and another where the Fund pays about 1.5 million every month and will continue paying till the last child is 21 years of age.

“But while we do this, we intensify accident prevention programmes, even collaborating with other agencies and relevant stakeholders to emplace occupational safety and health(OSH) standards in all workplaces enrolled with the Fund. This is the charge of our active OSH department in our 57 branches and 12 regions across the country.”

Adedeji also affirmed that the current management has a clear road map for the future of the Fund, stating that the NSITF is changing with the times in terms of rules and operations. He, however, insisted that the Fund’s tripartite stakeholders are involved in all major administrative decisions, including the recent introduction of fees for fresh registration and for compliance certificates.

He further assured the Council of Registered Insurance Brokers that the NSITF would consider its request for collaboration, adding that both organisations have similar roles in the world of work.

Earlier in his presentation, the President of the NCRIB, Babatunde Ogunlade, commended NSITF for expanding the reach of social security services in the country.

While stating that the visit was to seek areas of partnership and collaboration between the NSITF and a vibrant community of registered insurance brokers across the federation, Ogunlade said the two organisations have a common goal of securing the social security and well-being of all Nigerians.

He said, “We must mention that the NSITF has done very well. Your operations are getting noticed, and people are beginning to see the need to comply with you and understand the essence of the Employees’ compensation in the life of workers.

“What we bring on board is collaboration. We are far reaching. We have over 600 corporate bodies. We have over 15,000 members. We can collaborate and bring more companies, more money. But you propose a certain percentage we can earn by helping to do the work.

“We can bring in an aggregate of 30 to 50,000 small corporates, they don’t have to be limited, everybody suffers the risk of disability once you have an employee, even if it is two-member employee.

“More SMEs are coming up. The large corporates are things of the past, they will continue to dwindle, except in government agencies. The small corporates are coming up. We will collaborate in this area. Bring brokers on board, and we help you straighten the rough edges and bring in more SMEs into the net.”

Also on hand to receive the visitors were the NSITF’s heads of departments, including the General Manager, General Administration and Services, Jonah Nedemaya, who himself has a vast knowledge of the insurance industry.

Meanwhile, the Kano state government has declared that its zeal and commitment to the welfare of the Kano workforce and citizenry have similar intendments with the Employees’ Compensation Scheme of the NSITF.

The Kano State Head of Civil Service, Alhaji Abdullahi Musa, made the declaration while receiving an advocacy team from the Kano Branch of the NSITF led by Haruna Mohammed. Noting that the ECS would further strengthen a range of social security benefits which Kano extends to her people, Musa assured that the state would key into the scheme as well as make the ECS compliance certificate mandatory for contract bidders.

The Head of Service who received the NSITF team in the company of his Permanent Secretary Establishment, Mohammed Jalo, Permanent Secretary, Salaries and Wages, Ibrahim Boyi, and Director Administration and General Services, Umma Dallat further requested a detailed proposition to enable the state government to take a position at the earliest date. Among the NSITF team to the Kano State Secretariat were Idi Audu, Ahmed Suka and Abudrahman Tafida.