He noted that many airport assets had remained uninsured for years, exposing them to significant risks.

BY ANTHONYOMOH

The Federal Executive Council (FEC) has approved a N1.09 billion insurance package to cover critical assets and personnel across all federal airports in Nigeria. This decision, announced by Minister of Aviation and Aerospace Development, Festus Keyamo, aims to enhance aviation safety and protect infrastructure.  

Keyamo disclosed the approval on Monday after the FEC meeting presided over by President Bola Tinubu. He explained that the move aligns with a directive from the Secretary to the Government of the Federation (SGF) to insure critical government assets. The minister emphasized that the insurance package is crucial for Nigeria’s airports to secure certification from the International Civil Aviation Organization (ICAO).  

“This memo was prompted by Mr. President because we cannot continue to run our airports and critical assets without insurance cover,” Keyamo stated. He noted that many airport assets had remained uninsured for years, exposing them to significant risks. The new scheme will protect both infrastructure and personnel of the Federal Airports Authority of Nigeria (FAAN), ensuring compliance with global best practices.  

The N1,097,137,102.48 contract, inclusive of 7.5% VAT, will run for one year upon FAAN’s premium payment. Five leading Nigerian insurance firms were selected after a rigorous process. Leadway Assurance Company Limited will serve as the lead underwriter, with Cornerstone Insurance Plc, Linkage Assurance Plc, NEM Insurance Company, and Anchor Insurance Plc as co-underwriters.  

Keyamo reiterated that the approval reflects the Tinubu administration’s commitment to aviation safety, infrastructure protection, and worker welfare. This move is expected to boost confidence in Nigeria’s aviation sector and align it with international standards.