Motorcyclists, popularly known as Okada riders, in Ogun State have kicked against a daily ₦200 insurance premium introduced by the authorities of Abeokuta South and Abeokuta North Local Government Areas, describing the move as an attempt to exploit them despite the ₦800 daily ticket already collected by their unions.

It was recalled that the chairmen of Abeokuta South Local Government, Hon. Afeez Balogun, and Abeokuta North Local Government, Hon. Lanre Oyegbola Sodipo, had earlier met with leaders of the riders’ unions over the proposed daily premium ticket collection for an insurance scheme, but the engagement ended in a deadlock.

At a press conference held at the Nigerian Union of Journalists (NUJ) Secretariat in Abeokuta, the two council chairmen accused the union leadership of sabotaging the councils’ efforts to insure the riders, initially proposing a ₦300 daily premium to cover medical expenses arising from accidents.

The unions involved include the Motorcycle Owners and Riders Association of Ogun State (AMORAN), Amalgamated Commercial Motorcycle, Tricycle, Repairers Association of Nigeria (ACOMORAN), Articulated Motorcycle Owners and Riders Association of Nigeria (AMORAN), and Riders and Owners of Motorcycle Organisations (ROMO).

Findings revealed that the unions opposed the premium largely because council authorities declined to allow union officials to collect the insurance ticket, allegedly due to disagreements over the sharing formula of the daily premium proceeds.

A source in the Ministry of Transport disclosed that the state government might intervene to resolve the dispute between the councils and the unions or possibly shelve the idea altogether.

In separate interviews, riders operating across the two councils argued that collecting ₦200 daily as insurance premium was another way of imposing an extra financial burden on them, especially amid prevailing economic hardship.
One of the riders, Taiwo Oladeji, described the scheme as exploitative.

He said: “I don’t think the card is visible. I think they just want to exploit the Okada riders. So if an Okada man has an accident, which hospital are they taking him to? As an individual, I think I have the right to do insurance on my own.”

Oladeji, who said he had ridden motorcycles for over 10 years without any accident, added: “So it is not local government that will tell me that I should go and do insurance. Since over 10 years that I have been riding my Okada, I have not had an accident. No Okada rider will pray for accident.”

He further said: “Calculate ₦200 daily from each Okada rider and see how much that will be. Not all Okada riders will get accidents every day. In my own opinion, it is exploitation and an attempt by the council to get money into their pockets.”

Another rider, a Hausa operator identified as Habba Sani, who operates around the Sabo area, also described the daily premium ticket as exploitative.

He explained that the premium was initially introduced at ₦300 before being reduced to ₦200, stressing that paying ₦200 daily alongside the ₦800 union ticket was excessive.

Sani said: “Although the insurance scheme is a good idea, the unions are against it and told us not to pay. We would appreciate it if the council could assist us by paying the premium.”

He added: “The Hausa Okada riders have stopped paying the ₦200 daily collection because whenever any of us had an accident and we called Abeokuta North council healthcare centres, they refused to pick our calls. We can’t continue to pay for an insurance scheme that is not working.”

But speaking exclusively in his office, the Chairman of Abeokuta South Local Government, Hon. Balogun, said the insurance scheme was not designed to exploit the riders but to extend the Ogun State Health Insurance Scheme to them for financial protection against unforeseen circumstances such as sickness or accidents.

Balogun wondered why the unions, which collect ₦800 daily tickets from riders, would oppose a ₦300 premium — later reduced to ₦200 — that would provide healthcare coverage.

He said: “We the local government proposed ₦300 daily collection as remuneration fraction for the insurance scheme we are proposing for them, versus the ₦800 ROMO collects weekly, ACOMORAN collects weekly and other unions collect weekly.”

He added: “Apart from personal income tax, which the unions collect on behalf of the state government and which is only a fraction, what happens to the rest of the money? From our findings, the state collects only ₦200 from the union. What happens to the remaining ₦500?”

Balogun stressed that the insurance scheme goes beyond accident coverage.

According to him: “It covers everyday sicknesses like malaria, hepatitis, typhoid, diabetes, high blood pressure, hypertension and even operations. Have they ever received that from their unions?”

He said the initiative aligns with Governor Dapo Abiodun’s ISEYA mantra, adding: “Our governor has put in place a robust welfare package that covers insurance, drug availability and sustainability of the healthcare system.”

Balogun noted that all local government areas in Ogun State now provide 24-hour ambulance services, with functional primary healthcare centres in every ward, drug banks and an insurance system designed to strengthen the entire healthcare value chain.

He urged union leaders to reassess the scheme and work with the councils in the interest of the riders’ health and safety.