Not less than 260 non-executive directors of insurance companies will vacate their seats at the end of March 2016.
The Commissioner for Insurance, Mr. Mohammed Kari, who confirmed the development, told journalists that the National Insurance Commission (NAICOM) took the action to enforce the regulations as stipulated in the code of good corporate governance for the industry, which was released in February 2009.
Since the end of recapitalization in 2007, the affected non-executive directors are said to have been on their companies’ board, and they have spent nine years on respective positions.
“By the first of April, you wouldn’t find anybody on the board of any insurance company that has been there for more than nine years,” the NAICOM boss further revealed.
Section 5.04 (vii) of the 2009 corporate governance code states that “non-executive directors shall not be re-nominated and appointed for more than three terms of three years each.”