You may have heard from your Zonal Vice Presidents about the impasse between Leadway Assurance (Our DIP providers) and IATA, that threatened the survival of the DIP scheme in our market.We are happy to report that after a series of meetings which culminated in a marathon brainstorming session today, NANTA was able to extract a firm commitment from Leadway Assurance that the scheme will continue unabated.
Regrettably, due to new information which has only just been brought to the attention of NANTA executives, not all our members that applied for the DIP scheme will be successful by the 30th of March, 2017 .This is largely due to the fact that some of our members have not been able to meet up with all the different levels of collateral now required by Leadway Assurance from some of our members. We also understand that these additional requirements have become necessary due to the high level of risk which Leadway will be exposed to when they sign the contract which NANTA was able to convince them to sign with IATA today.
Our members that are not successful with their DIP application are those who have not provided Leadway Assurance with sufficient collateral.
Leadway assured NANTA team that all affected NANTA members have been duly notified of the additional requirements they need to submit. Any agency that has not received any demand for additional documentation is deemed to have scaled through and IATA will receive that agency’s DIP certificate before 31st March.
Moving forward, NANTA’s President and Leadway’s Executive Director have immediately set up a Progress committee to review the current DIP requirements and proffer solutions to the huge default situation in our market with a view of signing on more members within the next three months on a case by case basis. Members of the committee are:
1. Mr.Johnny Imomotebegha, Member, APJC
2. Mrs. Ngozi Ngoka, National Financial Secretary
3. Mrs. Adewole Adelola, Vice President, Lagos Zone
1. Mrs. Mobolanle Sodiya, Underwriter
2. Mrs. Bunmi Archer, Head, DIP Scheme
3. Mr. Sunday Oreleke, Legal Adviser
The six-man committee will meet regularly and advise both Leadway and NANTA on ways of ensuring the survival of the DIP scheme in Nigeria.
The current situation we find ourselves underscore the need for additional Financial Criteria for our market which will take care of Agencies that are not able to meet the requirements for Bank Guarantee and DIP. NANTA President has therefore mandated our team in the Progress committee to also come up with a third criteria for our market.