The National Pension Commission (PenCom), has served notice to all employers to display their group life insurance certificates for their employees within their premises on or before July 31, 2021 to avoid prosecution.
PenCom in the dispatch said it is acting in accordance with Pension Reform Act 2014 on which the Commission had a joint regulatory policy with the National Insurance Commission as prescribed by PRA 2014 section 4 (5) mandates every employer to maintain a group life insurance policy in favour of all employees.
PenCom outrider informing employers on the impending action against defaulters is contained in the notice: “Re: Compliance With PRA 2014 on Group Life Insurance Policy for Employees and Display of Insurance Certificates for 2021” in which the pension regulator said non compliance will be a violation of section 4 (5) of the PRA 2014.
The group life insurance policy should be a minimum of three times the annual total monument of the employees, and section 5.5 of the revised guidelines demands that the employer shall display a copy of the group life insurance policy certificate within its premises as evidence for the employees and and the regulator that the policy is in place.
