Tag: NAICOM

With macroeconomic headwinds still blowing, regulatory shakeups underway, and citizens demanding more value for their trust, Omobola Tolu-Kusimo writes on whether 2026 could be the year these industries either break new ground or stay stuck in the cycle of unrealized potential.

The year 2025 ended with increased premiums, improved regulatory oversight, and renewed investor interest following NAICOM’s enforcement of the Nigerian Insurance Industry Reform Act, 2025 (NIIRA 2025).reforms and recapitalisation efforts.

However, insurance penetration remains below 1per cent, a stubborn reminder of trust deficits and policy design mismatched with market realities.

In 2026, the focus is expected to be on Expanding microinsurance and digital distribution to reach the informal sector.

Focus will also be on how the industry will close claims trust gap through improved payout transparency; Enhancing fire and property insurance compliance, especially in high-risk zones; and Driving collaboration with state governments on compulsory insurance enforcement

Similarly, with climate-related risks like market fires and floods increasing, insurers will be under pressure to move from risk avoidance to proactive risk management and inclusion.

Pensions: The Balancing Act Continues

For the Contributory Pension Scheme (CPS) managed by PenCom, 2025 showed steady growth in assets now crossing N18 trillion and moderate expansion in the Retirement Savings Account (RSA) base. However, concerns linger around benefit adequacy, especially for informal workers and those nearing retirement.

Read Also: Raising financial services standards with consumer awareness, protection

In 2026, key expectations include- Strengthening the Micro Pension Plan to deepen coverage; More RSA transfer activity as competition among PFAs grows; Investment diversification into infrastructure and impact sectors; and Enhanced retirement planning education to close literacy gaps.

Meanwhile, under the Defined Benefit Scheme (DBS) administered by PTAD, continued efforts to clear backlog payments, implement biometric verification, and digitize pension records will define service delivery.

The Real Question: Inclusion or Isolation?

Both sectors face a common challenge on how to serve more Nigerians better. With only 19 million Nigerians enrolled in pensions and fewer than 2 million insurance policyholders, the industries are barely scratching the surface of a 230 million-strong population.

To shift from numbers to impact in 2026, stakeholders must Prioritize user education and financial literacy; Redesign products to fit real needs; and Build trust through service delivery and accountability

Final Word

2026 holds promise but delivery is key. Insurance and pension operators must align business interests with national needs, and regulators must be firm yet enabling. Nigerians, especially the youth and informal sector, are watching.

Can the sectors rise to meet them halfway? Only time and execution will tell.

Regulator, Operators Projections

PenCom

In an interview with journalists in Lagos, the Director General of PenCom, Ms. Omolola Oloworaran said her plan for 2026 would continue to revolve around building trust among retirees and Retirment Saving Account (RSA) holders.

She further disclosed that improving investments options for Pension Fund Administrators (PFAs) that allows them work towards the parts where returns on investment for retirees and RSAs surpass inflation.

Most importantly, we want to ensure that the right of retirees and RSAs earn good income at retirement. Generally, this continues to be our frontline plan and we will build reforms around them, she said.

NAICOM

The Commissioner for Insurance of NAICOM, Mr. Olusegun Omoseyin said Nigeria’s insurance sector stands at a defining moment.

He stated that while they have made progress in regulatory reforms and market development, the reality remains that this industry is still undercapitalized and underpenetrated.

He said: “Insurance penetration hovers below one per cent of Gross Domestic Product (GDP), behind global and even regional averages. As the World Bank reminds us, “Financial resilience is not a luxury; it is a necessity for sustainable development.” Recapitalization is not just a compliance exercise; it is a strategic imperative. But let me emphasize: resilience requires more than capital. The goal is no longer just solvency; it is about building the capacity to withstand shocks, adapt to change, and thrive in uncertainty.

“Under the Nigerian Insurance Industry Reform Act (NIIRA) 2025 and the guidelines issued by the commission, we have set clear expectations by specifying the Minimum Capital Requirements (MCR). We have also constituted an in-house Committee to drive the recapitalization exercise. We issued an MCR Circular followed by comprehensive guidelines for MCR to provide regulatory clarity.

“We also set very clear compliance timelines which includes 30th September 2025: Submission of recapitalization plans; 10 working days after month-end: Monthly progress reports; and November 2025 – June 2026 for Capital verification.

Beyond capital, Omosehin reiterated that capital is the floor, not the ceiling.

He said to achieve resilience, they must Address emerging risks such as climate change, cyber threats, health crises, supply chain disruptions, and political volatility; Develop local data and risk models suited to Nigeria’s realities; Embed ESG and sustainability principles in underwriting and investment; Move from being mere risk transferors to risk managers and mitigators.

“Capacity building must extend beyond financial capital to human capital, that is, technical skills, leadership, actuarial and innovation mindset. Capacity must also extend to technological capacity such as, catastrophe modelling, insurtech adoption, data analytics, and digital distribution. As the African Insurance Organization noted recently, “The future of African insurance will be digital, data-driven, and customer-centric.”

Speaking on the game changer for 2026, the commissioner said recapitalization will reshape the industry. It will lead to strategic mergers and acquisitions, creating stronger entities.

“But collaboration must go further. Reinsurance partnerships should evolve from transactional to strategic. Public-private partnerships can drive inclusive insurance and deepen penetration. Regulators, insurers, reinsurers, and other stakeholder must work together to mobilize capital and expertise. Under the African Continental Free Trade Area (AfCFTA), we must leverage regional platforms for cross-border growth, harmonizing standards and unlocking scale.

“Our ultimate goal is competitiveness and adaptability, not mere compliance. This requires transparency and trust, especially in claims settlement, alignment of policy, capital, and innovation to support national economic stability, and a shared commitment to transform insurance from a peripheral service to a central pillar of Nigeria’s economic resilience”.

He encouraged operators that recapitalization is not an end; it is the beginning of a new era.

“It is the foundation upon which we will build a resilient, innovative, and globally competitive insurance sector. NAICOM stands ready to facilitate this journey through guidance, engagement, and collaboration. We urge every stakeholder here to embrace this moment, not as a regulatory burden, but as a strategic opportunity to redefine our industry’s future.

“Together, let us move beyond solvency to resilience, beyond compliance to competitiveness, and beyond borders to continental leadership, and above all, beyond MCR to RBC”, he stressed.

Operators

The Chairman, Nigerian Insurers Association (NIA), Kunle Ahmed in his new year message to member companies of the association pledged to establish a recapitalisation help desk to assist them during the transition.

He appreciated their commitment to client’s satisfaction, unwavering support, resilience, and collaborative spirit, which together defined the remarkable progress of the association and the Nigerian insurance industry in 2025.

He disclosed that the past year was transformative for the NIA, marked by initiatives that deepened the market, boosted public confidence, and strengthened stakeholder engagement.

He said: “In 2025, the NIIRA Act was signed into law, creating a stronger framework for insurance penetration, governance, and sustainable growth.

“As 2026 begins, the priority is its effective implementation through collaboration among companies, regulators, and stakeholders. The NIA has pledged continued support via advocacy, guidance, capacity-building, and plans to establish a recapitalisation help desk to assist members during the transition.

“With cooperation, transparency, and shared responsibility, I am confident we will consolidate the gains of 2025 and usher in a new era of growth and public trust”, he added.

The National Insurance Commission (NAICOM) has ruled out any possibility of extending the recapitalisation deadline for operators in the Nigerian insurance industry.

The insurance regulator is insisting that the timeline is rooted in law and cannot be shifted without a fresh legislative process.

The Deputy Commissioner for Insurance (Technical), Dr. Usman Jankara, who represented the Commissioner for Insurance and Chief Executive of NAICOM, Mr. Olusegun Omosehin, disclosed this during a seminar for reporters on the NIIRA 2025 framework in Abuja.

According to Dr. Jankara, the deadline is a statutory provision and not an administrative target that can be adjusted at will.

He stated that any attempt to alter the date would require going back to the National Assembly, securing an amendment to the Act, and obtaining presidential assent.

He said: “NAICOM does not intend to pursue extension. The deadline date is 30 July 2026.”

He explained that the Commission is confident that serious industry players will meet the statutory capital thresholds within the stipulated timeframe, adding that NAICOM expects a stronger, better-governed and more financially robust insurance sector after the recapitalisation exercise is concluded.

The minimum capital requirement now stands at N15 billion for non-life insurers, N10 billion for life insurance companies and N35 billion for reinsurance firms. Dr. Jankara described these figures as the basic operating benchmarks that every insurance entity must meet in order to operate in the market.

He noted that the new capital regime became necessary because inflation and the sharp depreciation of the naira had weakened the real value of the previous capital thresholds.

Jankara recalled that capital bases of N2 billion to N5 billion that appeared substantial during the last recapitalisation exercise are now comparatively insignificant in dollar terms.

He explained that the new capital programme is aimed at strengthening market stability, phasing out weak and marginal operators, encouraging mergers where necessary, and improving the ability of insurers to meet policyholder obligations.

“What we are going to see after this exercise are stronger, better-capitalised and more reliable insurers,” he said.

Read Also: NAICOM insists on Strict Capital Verification

Providing an update on implementation, Dr. Jankara stated that the recapitalisation programme is already in full motion. An in-house recapitalisation committee has been set up within the Commission, guidelines on the new capital requirements have been issued, and companies are required to submit recapitalisation plans to NAICOM. He added that operators are also expected to provide monthly updates on the progress of these plans.

He explained that the current stage of the exercise is verification of claims by companies that assert they have met the new capital thresholds.

To ensure credibility and transparency, NAICOM has engaged the Big Four global auditing firms — KPMG, Deloitte, EY and PwC — to serve as external verifiers.

These firms are visiting companies, reviewing assets and investments, and authenticating capital positions, after which NAICOM carries out a secondary validation of their reports.

He stressed that, as of now, no company has been officially confirmed compliant. “Whether you are big or small, every operator must pass through the same compliance scanner,” he said.

Dr. Jankara also spoke extensively on the Insurance Policyholders Protection Fund (IPPF), which he described as a safety net created to protect policyholders in the event of the insolvency of an insurance company.

He said the fund operates in a similar manner to the Nigeria Deposit Insurance Corporation (NDIC) in the banking sector, but with broader coverage, because it can intervene even when a company is still operating but in financial distress — thereby performing a dual function comparable to both NDIC and AMCON.

Jankara explained that any financial support granted to troubled insurers from the fund will be treated as a loan that must be repaid, while claims settled through the fund may be recovered from the liquidation proceeds of failed companies. “The fund is self-funding, has a governance committee, and has a sustainability mechanism,” he said.

On funding, he stated that insurance companies will contribute 0.25 per cent of their gross premium income annually to the fund, and contributions will accumulate over time.

Once the fund reaches 25 per cent of the industry’s gross premium, further contributions will be suspended until growth in industry premium resumes. He added that, where insolvency pressures exceed available funds, NAICOM is empowered to request additional contributions from insurers.

He stressed that the fund belongs to the industry and is not a NAICOM-controlled pool, noting that NAICOM is only a member of the management committee.

According to him, operators have largely accepted the levy because of its stabilising role and its capacity to restore confidence among policyholders.

He said the introduction of the fund is expected to address long-standing public mistrust arising from past instances where failed companies could not meet their obligations, thereby damaging the image of the sector.

“This mechanism will improve trust in insurance participation and give Nigerians greater assurance that their interests will be protected,” he stated.

On claims settlement obligations under NIIRA, Dr. Jankara explained that Section 210 of the Act provides clear penalties for failure or undue delay in the payment of legitimate claims.

These include fines payable to the regulator and the application of compound interest on delayed claims, calculated monthly at prevailing bank rates, on the outstanding amount due to policyholders.

He said this provision is designed to discourage unnecessary delays and to compel operators to treat claims settlement as a core responsibility.

The NAICOM executive also addressed the new sanctions regime for regulatory infractions, noting that the former Insurance Act prescribed fixed penalties that did not reflect the magnitude or financial gains associated with certain breaches.

The NIIRA framework, he said, introduces a more flexible and proportionate system that allows NAICOM to impose sanctions based on the severity of an infraction.

He explained that the Commission now applies the principle of disgorgement, which ensures that any financial benefit obtained through non-compliance is fully recovered, in addition to the imposition of further penalties to deter recurrence.

Jankara added that penalties affecting members of the public are expressly stated in the law, while those relating to regulated entities are determined in line with risk exposure and the gravity of the offence.

The Deputy Commissioner for Insurance expressed confidence that the recapitalisation drive and the protection mechanisms under NIIRA will collectively produce a stronger insurance sector that is better positioned to meet obligations, expand coverage and rebuild public trust in the Nigerian insurance industry.

The National Insurance Commission (NAICOM) has declared that transparency and integrity in the ongoing Minimum Capital Requirement (MCR) verification exercise are “non-negotiable.”

Commissioner for Insurance, Mr. Olusegun Ayo Omosehin, made the position known at the EY Insurance Summit on the Nigerian Insurance Industry Reform Act (NIIRA) 2025, where he detailed the Commission’s multi-layered reform agenda.

Omosehin explained that the Commission’s collaboration with global audit firms is central to guaranteeing credibility in the capital verification process. “This is why we are partnering with the Big 4 firms to conduct independent verification of the MCR of all insurance companies,” he said.

He compared the verification exercise to strict aviation security procedures, saying, “What we are doing is akin to the scanner at airports. Every entity must pass through the scanner to validate compliance with the MCR. Our partnership with the Big 4 firms ensures independent validation of compliance with the MCR in line with extant laws and regulations. This collaboration is a cornerstone of investor confidence and market credibility.”

READ ALSO; No Boko Haram suspects held in Lagos, CP Jimoh

The NAICOM chief disclosed that industry operators were responding positively to the process. According to him, “Industry response has been encouraging with a significant number of insurers indicating readiness for capital verification. Boards have approved strategies for fresh capital injection, mergers, and operational restructuring. The Commission has completed reviews of recapitalization plans and issued feedback to institutions.”

Omosehin stressed that recapitalisation is only the starting point. “Recapitalization is the foundation, not the finish line,” he said, adding that after completing the MCR exercise and issuing licences to compliant firms, the Commission will immediately begin implementing the Risk-Based Capital (RBC) framework.

According to him, the RBC Framework “is already concluded and will soon be re-exposed for stakeholder comments. The RBC Toolkit for analysis is nearing completion and will be used for RBC computation. RBC will align capital requirements with the risk profile of each institution, encouraging prudent risk management and capital allocation.”

He also drew attention to emerging regulatory obligations under IFRS 17, stating that the new accounting standard introduces complexities requiring actuarial depth. “The implementation of IFRS 17 introduces new complexities in valuation and reporting. Actuaries will play a critical role in pricing compulsory insurance, assessing liability valuations, supporting RBC computations, and enhancing NAICOM’s regulatory data collection and analytics infrastructure,” he said.

Omosehin added that the Commission is concluding plans to engage an actuary to strengthen capacity in these areas and support industry-wide actuarial development.

The NAICOM boss further set out NAICOM’s expectations from insurers, reinsurers, actuaries, auditors, brokers, technology partners, and investors. He said the Commission expects insurance and reinsurance companies to demonstrate full compliance with MCR timelines, adopt transparent reporting practices, invest in technology, entrench sound risk management systems, and prioritise prompt claims settlement. He noted that actuarial professionals must assist companies on IFRS 17 compliance and liability valuation, while audit firms are expected to ensure the integrity and independence of the capital verification exercise. Other stakeholders, including brokers, investors, and technology partners, he said, should drive innovation in distribution, deepen customer engagement, and expand the use of Insurtech solutions to support financial inclusion.

He reaffirmed the commitment of the current NAICOM management to collaborate with all stakeholders. “The current management of NAICOM is fully committed to working with all stakeholders – insurers, reinsurers, brokers, loss adjusters, actuaries, auditors, and technology partners – to change the narrative of the Nigerian insurance industry. Our shared goal is a sector that is resilient, innovative, and globally competitive.”

Addressing lingering industry challenges, Omosehin acknowledged concerns around mergers and acquisitions, macroeconomic instability, and capacity gaps. He stated that integration issues in M&A processes must be carefully managed, while inflationary pressures and foreign exchange volatility continue to affect capital mobilisation. He also stressed that financial strength alone is insufficient without strong underwriting expertise and robust risk management frameworks.

He noted that NAICOM’s regulatory approach is principle-based, offering clarity while creating room for innovation within a safe operating environment.

Looking beyond compliance, the Commissioner presented the Commission’s broader strategic vision for the sector. He said the long-term goal is to build resilience and competitiveness through digital transformation, AI-enabled fraud detection, the use of IoT for risk prevention, and fully digital insurance platforms. Omosehin also stressed the importance of embedding sustainability principles in underwriting and investment decisions to align with global ESG standards, attract responsible capital, and take advantage of the African Continental Free Trade Area (AfCFTA).

He added that the future of the industry depends on its capacity to develop local risk models and deepen analytics to tackle new and evolving threats including climate change, cyber risks, and public health emergencies.

According to him, achieving this vision requires strong balance sheets, cohesive regulation, and unified industry action.

The eighteen months spanning May 2024 to October 2025 will be chronicled in Nigeria’s financial history as the period when the insurance sector transitioned from a latent player to a central force in the nation’s economic development.

Under the Commissioner for Insurance (CFI), the National Insurance Commission (NAICOM) has meticulously pursued a sweeping reform agenda, defined by intense inter-agency partnerships, critical institutional restructuring, and stringent market discipline, all aimed at fully implementing the National Insurance Industry Reform Agenda (NIIRA 2025).

This concentrated effort seeks to foster a safer, smarter, and more inclusive industry, capable of truly underwriting Nigeria’s ambitious economic vision.

The Economic Integration Strategy: Underwriting the $1 Trillion GDP Target NAICOM’s strategy goes beyond mere regulation; it involves integrating the insurance architecture directly into the nation’s financial machinery. A key move in this direction occurred in May 2024 when the CFI hosted the Constitutional Committee on Mobilisation and Diversification of the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC).

Deliberations during this high-level meeting centred not only on embedding insurance within national revenue diversification strategies but also on exploring its incorporation into the National Credit Scheme. This strategic alignment positions the industry as an essential economic tool, actively supporting the drive towards the $1 trillion GDP target by 2026.

The commitment to national economic planning was again evident in September 2025 when NAICOM engaged with the Nigerian Economic Summit Group (NESG). The purpose of the meeting was to deepen collaboration on policy reform and the implementation of NIIRA 2025. The conversation specifically addressed data-sharing protocols and the creation of an insurance working group within the NESG to formally integrate insurance policy into the broader national economic framework.

Read Also: EFCC returns N42.5m to 70-year-old widow defrauded by banker

Furthermore, earlier in May 2024, the Commission held discussions with the Nigerian Insurers Association (NIA) Governing Council, led by Mr. Kunle Ahmed, focusing on the implementation of the 10-year industry strategic plan and the finalisation of the consolidated insurance bill, two critical legislative components necessary for long-term sector stability and growth.

Recapitalising the insurance industry

The National Insurance Commission (NAICOM) initiated a recapitalization exercise on July 31, 2025, mandated by the Nigerian Insurance Industry Reform Act (NIIRA) 2025, to bolster the financial stability and competitiveness of Nigeria’s insurance sector, with a 12-month deadline of July 31, 2026.

This exercise sets significantly higher Minimum Capital Requirements (MCR), such as N10 billion for Life Insurance and N15 billion for Non-Life Insurance, requiring companies to hold capital proportional to their risk exposure under a risk-based capital framework.

The recapitalisation is expected to lead to industry consolidation, potential mergers and acquisitions, and increased competition, ultimately aiming to cultivate a more robust industry that safeguards policyholders’ interests and supports economic growth.

A zero-tolerance approach to market discipline and compulsory insurance

The Commission’s authority has been deployed with remarkable force to protect consumers and enforce market conduct. In a clear message to the industry, the CFI summoned the Board of African Alliance Insurance Plc in July 2024 over unsettled claims and compliance lapses.

Following the meeting, the Commission issued a strict directive for the immediate settlement of all outstanding claims and submission of a comprehensive turnaround plan, while simultaneously making it known that further sanctions were being considered for continued non-compliance.

On the other hand, the regulatory discipline was balanced by actions promoting market expansion, such as the granting of an operational licence to NPF Insurance Co. Ltd in November 2024, allowing the firm to commence general insurance business after meeting all stipulated requirements.

A monumental effort was invested in enforcing compulsory Third-Party Motor Insurance through robust security and safety partnerships. In June 2024, the CFI met with the Inspector-General of Police (IGP), Kayode Egbetokun, proposing the formation of a joint enforcement task force and the use of a digital authentication platform to verify policy validity nationwide.

The IGP responded by constituting a technical committee led by the Deputy Inspector-General of Police (DIG) Operations to guarantee full cooperation, establishing a framework for nationwide joint enforcement. This framework was strengthened in October 2025 with the inauguration of a Joint Committee with the Federal Road Safety Corps (FRSC), focusing on real-time insurance verification and support for accident victims, thereby merging enforcement with technology for public safety.

Separately, the enforcement of compulsory insurance on public infrastructure was advanced through the Public Buildings Insurance Compliance Committee meeting in July 2024. Chaired by Deputy Commissioner Ekerete Gam-Ikon, the committee developed a framework to enforce Sections 64 and 65 of the Insurance Act 2003. A primary goal of this framework is to actively liaise with state governments to ensure the domestication of insurance laws and to intensify public sensitisation campaigns, ensuring compliance is achieved at all levels of governance.

Forging digital and financial integrity

Recognising that trust rests on transparency and security, NAICOM has strategically partnered with anti-graft and data protection bodies. In July 2024, the NFIU CEO, Mrs. Hafsat Abubakar Bakari, visited the Commission, leading to discussions that focused on data exchange, anti–money laundering efforts, and the implementation of sophisticated surveillance mechanisms to detect illicit financial flows within the insurance market.

Following this, in November 2024, NAICOM formally agreed with the Economic and Financial Crimes Commission (EFCC) to combat money laundering and fraud, committing to intelligence sharing and coordinated enforcement to elevate market transparency.

The safeguarding of consumer data saw a major advancement in November 2024 with the signing of a Memorandum of Understanding (MoU) with the Nigerian Data Protection Commission (NDPC). Key deliverables from this landmark agreement include the establishment of a Data Protection Clinic, the development of sector-specific data privacy guidelines, and the formation of a joint implementation committee that includes both the NIA and the Nigerian Council of Registered Insurance Brokers (NCRIB).

Immediately following the MoU, NAICOM began the creation of Data Protection Guidelines for all operators to ensure adherence to national privacy standards. The industry’s digital future was further propelled by a partnership with the FinTech Association of Nigeria (FinTech Nigeria) in September 2025, which centres on advancing InsurTech development through a focus on technology-driven policy distribution and claims automation to enhance market inclusion.

Institutional renewal and human capital development

To support its expansive new mandate, NAICOM undertook a comprehensive internal restructuring in June 2024. The Governing Board approved the promotion of five new Directors: Ajibola Bankole, Ahmad Adamu, Talmiz Usman, Kamaludeen Barde, and Rasaaq Salami. Simultaneously, eight new directorates were established, including Innovation & Regulation, Market Conduct, and Technology, Strategy & Research, fundamentally strengthening the internal structure and improving regulatory efficiency.

Beyond internal capacity, the Commission is actively addressing the industry’s human capital needs. An ongoing initiative with the Federal Ministry of Youth aims to engage one million youths in capacity building, thereby developing the skilled workforce required to sustain the sector’s projected growth. This concerted effort, complemented by public advocacy like the goodwill message at the NCRIB CEO Retreat in June 2024 on ethics and governance, and the Regional Outreach Programmes planned for 2025, clearly positions NAICOM as a holistic developer and regulator of the Nigerian insurance landscape.

Engagement with the presidency and policy synergy

Throughout his tenure, Omosehin maintained a direct line of engagement with the Presidency. He participated in the Presidential Enabling Business Environment Council (PEBEC) sessions and contributed to discussions on easing regulatory procedures for financial-service operators. NAICOM’s own reforms—licensing automation, digital claims reporting, and online verification of insurance certificates—became case studies for regulatory efficiency.

The Presidency, in turn, recognised NAICOM’s efforts in boosting investor confidence. During a presentation at the State House in 2025, Omosehin showcased data indicating that total industry assets had crossed N2.8 trillion, with claims payments hitting record highs. President Bola Ahmed Tinubu commended the sector’s progress and assured continued government support for risk-management initiatives.

Industry milestones and recognition

The transformation did not go unnoticed. NAICOM received commendations from the Chartered Insurance Institute of Nigeria, the Nigeria Employers’ Consultative Association (NECA), and the African Reinsurance Corporation for its regulatory diligence and market-development initiatives. The Commission also won the Public Institution of the Year Award at the 2025 Nigerian Risk and Insurance Summit.

For Omosehin, however, the real measure of success lay not in trophies but in public trust. “When families get their claims promptly, when businesses recover from losses without shutting down—that is the real award,” he said during an industry gala in Abuja.

Insurance for national infrastructure

Perhaps one of the most ambitious undertakings during the period was NAICOM’s collaboration with the Infrastructure Concession Regulatory Commission (ICRC) and the Ministry of Works on embedding insurance in public-private partnership (PPP) contracts. Under the framework, all PPP projects above N5 billion must now carry comprehensive insurance covering construction, political risk, and third-party liabilities.

This policy innovation, though technical, could save billions of naira in public funds and attract foreign lenders who demand risk-mitigation mechanisms before committing capital. By 2025, several expressway and housing-estate concessions had already complied with the new requirement, giving NAICOM tangible visibility in the infrastructure space.

Strengthening enforcement and sanctions

Regulation, however, was not all persuasion and partnership. Under Omosehin, NAICOM moved decisively against infractions. The Commission suspended licences of operators who failed to meet capital or claims obligations and imposed fines on firms breaching disclosure requirements.

For the first time, a public Enforcement Bulletin was released detailing offences and penalties—a transparency measure meant to deter malpractice and reassure policyholders of fair play.

“Regulation must be firm but fair,” Omosehin noted at a press conference. “Compliance builds credibility, and credibility attracts investment.”

Insurance and national economic policy

Omosehin’s broader narrative puts insurance at the heart of Nigeria’s economic reform agenda. He has repeatedly argued that no nation can sustain growth without effective risk management. Working closely with the Ministry of Budget and Economic Planning, NAICOM contributed inputs to the national development plan, identifying insurance as a catalyst for infrastructure financing, MSME resilience, and climate adaptation.

A notable milestone was the Commission’s engagement with the Infrastructure Concession Regulatory Commission (ICRC) to design risk-transfer frameworks for public-private partnerships. These frameworks ensure that infrastructure investors can obtain political-risk and performance guarantees, a move that could unlock billions in private capital.

Similarly, NAICOM’s collaboration with the Nigerian Investment Promotion Commission (NIPC) opened dialogue with foreign investors seeking to enter the Nigerian insurance and reinsurance markets. As confidence rose, new entrants began filing for licences, and the sector’s asset base expanded.

Championing continental insurance leadership

By late 2025, Nigeria’s influence in continental insurance forums had become impossible to ignore. When the African Insurance Organisation (AIO) convened its annual general assembly in Casablanca, Mr. Olusegun Ayo Omosehin was invited to co-chair a panel on regulatory convergence in Africa. He spoke candidly about the need for African regulators to harmonise solvency standards and coordinate data reporting, arguing that fragmented rules had long discouraged cross-border investment.

“Africa must move from operating as isolated markets to functioning as a risk-sharing community,” he said, drawing applause from delegates. “A stronger Africa Insurance Market means stronger national economies.”

His leadership extended to multilateral projects. NAICOM joined a continental task force on Disaster Risk Financing spearheaded by the African Development Bank (AfDB) and the African Risk Capacity (ARC). Nigeria’s participation, according to Omosehin, was not symbolic—it was strategic. With recurring floods, droughts, and public health emergencies, Nigeria needed insurance tools that could complement federal relief budgets. The task force’s recommendations now inform pilot disaster-risk pools in West Africa, designed to provide rapid payouts to governments during crises.

Looking ahead: a sector poised for growth

As the curtain draws on 2025, the Nigerian insurance industry stands on firmer ground. Penetration rates, though still modest, are rising. Digital channels are expanding outreach, and new lines such as health, agricultural, and climate insurance are gaining momentum.

Omosehin’s vision for the next phase is clear: a self-regulating industry guided by professionalism, innovation, and integrity. The Commission is already drafting its 2026–2030 Strategic Plan, focusing on deep market penetration, sustainable finance, and consumer-centric regulation.