The Commissioner for Insurance/Chief Executive Officer of the National Insurance Commission, Olusegun Omosehin, has disclosed that the commission has finalized its evaluation of the capital restructuring blueprints submitted by insurance companies.
Omosehin delivered this update on Wednesday during his opening address at the 2025 Insurance Directors’ Conference held in Lagos.
The PUNCH had earlier reported that NAICOM mandated insurance companies to submit their recapitalisation plans by September 30, 2025. These plans are required to outline strategies (e.g., amalgamations, takeovers, fresh capital injections), timelines, board endorsements, and financial projections.
This development stems from the signing of the Nigeria Insurance Industry Reform Act 2025 (NIIRA 2025), which stipulated new base capital requirements for participants in the sector. Addressing the Directors’ conference, Omosehin said, “The Commission has launched a capital enhancement drive for all insurance and Reinsurance companies, as required by NIIRA 2025. This initiative is intended to bolster the financial stability, resilience, and competitiveness of the Nigerian insurance sector. Institutions met the September 30th deadline for the submission of recapitalisation plans. The scrutiny of these plans is now complete, and the Commission will shortly begin formal communication with each company, informing them of the outcome of the Progress Report review and also offering guidance and maintaining transparent dialogue with operators to ensure the seamless execution of the recapitalisation exercise. Under the leadership of President Bola Ahmed Tinubu, GCFR, Nigeria is undergoing a bold economic overhaul aimed at achieving a $1tn economy by 2030. The insurance industry is expected to play a critical part in this journey, acting as both a buffer against shocks and a catalyst for progress.”
“Insurance must transition from being peripheral to being central to economic planning. By realizing its full potential, we can furnish long-term investment capital, alleviate risk, and provide financial protection to individuals and businesses, thereby making a substantial contribution to our nation’s GDP.” The sector-wide capital upgrade began with the assent of President Bola Tinubu on July 31, 2025, and insurers have a 12-month period, ending July 31, 2026, to satisfy the new Minimum Capital Requirements (MCR).
Omosehin further noted that a dedicated team is supervising this process, with duties including devising a comprehensive strategy, issuing directives and circulars, recommending the composition of the MCR, and identifying regulatory incentives. Speaking directly to the boards and directors, the CFI said that they were essential to the implementation of the NIIRA 2025. “As Directors, your stewardship is pivotal to the successful rollout of these reforms and indeed of NIIRA 2025. You are the custodians of oversight, ethics, and strategic foresight. Your mandate is not only to monitor financial performance but also to spearhead innovation, adherence, and endurance.”
“It’s also vital to underscore that boards must be proactive, inquiring, and resolute. Boards must acknowledge that sound governance is not just a regulatory prerequisite; it is a moral obligation. As leaders, you must uphold the highest levels of integrity and accountability.” He also highlighted several collaborations with other agencies designed to propel NIIRA 2025 forward, including the signing of a Memorandum of Understanding (MOU) with the Nigerian Data Protection Commission concerning Data Protection specifically for insurance operators, and prioritizing the mandatory enforcement of compulsory insurance with partnerships with the Federal Road Safety Corps and the Nigeria Police Force.
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