Nigeria’s insurance regulator says 43 insurance and reinsurance companies have satisfied new capital requirements introduced under sweeping industry reforms, marking a key milestone in a recapitalisation drive that has run for more than a year.
The National Insurance Commission (NAICOM) said Sunday that eight additional insurers, which submitted compliance evidence just before the July 31 deadline, are still going through final verification and are expected to be cleared within 14 days.
The regulator said the higher capital thresholds are designed to strengthen insurers’ ability to pay out policyholder claims, absorb emerging risks, and support long-term investment across the economy. The recapitalisation exercise was carried out under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, signed into law last year by President Bola Tinubu as part of wider financial sector reforms.
Nigeria had roughly 60 licensed insurance and reinsurance firms before the exercise began. Under the new framework, companies must now hold minimum capital based on their business type — 15 billion naira ($11.02 million) for life insurers, 25 billion naira for non-life insurers, and 45 billion naira for reinsurers.
NAICOM called the outcome a defining moment in the transformation of Nigeria’s insurance sector. The industry has long struggled with low penetration and limited capital reserves, which has restricted local insurers’ capacity to retain large risks in sectors like oil and gas, aviation, and infrastructure. The regulator did not disclose the total capital raised during the exercise.
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