The Nationwide Insurance coverage Fee has outlined reforms, compliance expectations, and industry-wide progress below the Nigerian Insurance coverage Business Reform Act 2025, reaffirming its dedication to constructing a resilient and globally aggressive insurance coverage sector.
Based on a press release launched by the Fee, the engagement hosted by EY represents a well timed platform to strengthen collaboration and stimulate progress throughout the Nigerian insurance coverage {industry}.
Delivering the keynote deal with on behalf of the Commissioner for Insurance coverage, Mr. Olusegun Omosehin, on the EY Insurance coverage Summit in Lagos on Thursday, Usman Jankara mentioned the summit displays renewed engagement geared toward strengthening the {industry}.
“At the moment’s dialogue is a commendable improvement as it will foster renewed engagement and collaboration for the expansion of the Nigerian insurance coverage {industry} in addition to contribute resilience and competitiveness of the Nigerian economic system,” he mentioned.
The assertion described NIIRA 2025 as “a landmark laws designed to strengthen {financial} soundness, improve policyholder safety, and align the {industry} with international greatest practices,” including that insurance coverage should evolve from a marginal function to “a central pillar of {economic} stability and progress” as Nigeria targets a $1 trillion economic system by 2030.
It highlighted progress for the reason that Act got here into drive, together with the issuance of key pointers and circulars such because the Minimal Capital Requirement framework.
It additional famous that “all insurers and reinsurers submitted their plans by the September 30 deadline,” and {that a} devoted Recapitalization Committee now screens compliance by means of month-to-month reporting.
To make sure integrity, the Fee reaffirmed its partnership with the Massive 4 companies for unbiased capital verification, explaining, “What we’re doing is akin to the scanner at airports. Each entity should go by means of the scanner to validate compliance with the MCR.”
The Fee added that work is ongoing on additional pointers overlaying product improvement, suitability requirements, claims administration, Takaful, microinsurance, and worldwide reinsurance, whereas publicity drafts on registration and renewal necessities have already been issued for feedback.
The response from the {industry} has been characterised as optimistic, with quite a few insurers progressing in the direction of capital validation and plenty of boards endorsing mergers, reorganizations, and new capital plans
The assertion acknowledged challenges resembling macroeconomic headwinds, merger issues, and capability gaps, however emphasised NAICOM’s principle-based regulatory method that strikes a stability between readability and innovation.
The Commissioner highlighted broader strategic priorities resembling digital transformation, ESG integration, data-driven operations, and leveraging AfCFTA alternatives to deepen regional competitiveness.
He identified that below IFRS 17 and the upcoming Danger-Based mostly Capital regulation, actuaries will grow to be more and more necessary. The Fee is finalising plans to rent an actuary to assist analytics and valuation frameworks.
Reaffirming regulatory expectations, the assertion urged insurers to show full compliance with the MCR timeline, strengthen transparency, embrace know-how, and prioritize immediate claims settlement.
It additionally urged auditors, actuaries, brokers, and know-how companions to reinforce capability, strengthen governance, and enhance insurance coverage protection.
The Commissioner reiterated NAICOM’s readiness to collaborate throughout the {industry}, stating, “Our shared aim is a sector that’s resilient, revolutionary, and globally aggressive.”
He concluded with a name to motion: “Allow us to seize this second, not as a regulatory burden, however as a strategic alternative to redefine the way forward for insurance coverage in Nigeria and throughout Africa.”