The Nationwide Insurance coverage Fee has insisted that there will probably be no extension of the continued recapitalisation deadline within the insurance coverage business, saying the timetable is mounted in legislation and can’t be shifted.
NAICOM’s Deputy Commissioner for Insurance coverage (Technical), Dr Usman Jankara, who represented the Commissioner for Insurance coverage and Chief Govt Officer of NAICOM, Mr Olusegun Omosehin, at a seminar for insurance coverage journalists in Abuja on Tuesday, made the fee’s place clear throughout a question-and-answer session.
He mentioned, “I want to state unequivocally that the recapitalisation deadline is not going to be prolonged. The fundamental purpose is that this: it’s the legislation.”
In keeping with him, any change would require a contemporary legislative course of and presidential assent.
“As soon as it’s the legislation, no one has the facility to increase what the legislation had indicated as a deadline. If it is advisable try this, you would want to return to the Nationwide Meeting, get that part amended, and get Mr President’s assent. It isn’t a journey we’re keen to embark on,” he added.
Jankara mentioned the deadline contained within the Nigerian Insurance coverage Business Reform Act 2025 stays July 30, 2026, insisting that severe operators ought to be capable to comply.
“We consider that the deadline as clearly highlighted by NIRA is doable, it’s cheap, and it’s one thing severe gamers throughout the insurance coverage sector will be capable to meet inside that timeframe,” he mentioned.
He expressed confidence that the method would end in a stronger business.
“By the tip of the deadline offered by NIRA, that’s July 30, 2026, we’ll be popping out to Nigerians with new insurance coverage corporations which have met the requirement, which can be stronger, which can be extra well-managed, and which have the monetary muscle tissues to satisfy their obligations to Nigeria,” he added.
Earlier, Jankara delivered the commissioner’s welcome remarks, apologising for Omosehin’s absence.
He advised journalists that the seminar was designed to deepen belief and engagement between NAICOM and the media.
“Let me begin by saying that this gathering isn’t just an occasion; it’s a strategic platform to strengthen engagement and belief between the Nationwide Insurance coverage Fee and media professionals who play a really important function in shaping public notion of the Nigerian insurance coverage business,” he mentioned.
He outlined the targets of the session to incorporate collaboration, correct reporting and highlighting reforms, including that the media was central to bettering insurance coverage understanding and uptake.
Jankara mentioned NAICOM, underneath its present management, had pursued reforms that steadiness prudential oversight with innovation.
These embrace risk-based supervision focused at high-risk establishments, improved market conduct, faster claims settlement and “zero tolerance for non-settlement of complaints or claims.”
He mentioned the fee was additionally driving inclusive progress by microinsurance, takaful, insurtech and MSME-focused merchandise, whereas creating area for innovation by way of a know-how directorate, innovation hub and regulatory sandbox protecting concepts akin to embedded insurance coverage and usage-based pricing.
He added that NAICOM was collaborating with the Nigeria Police Pressure to implement obligatory third-party motor insurance coverage and enhance systemic resilience.
In keeping with him, stakeholder engagement and enforcement have helped change Nigerians’ notion of insurance coverage from a misunderstood product to 1 that’s “regularly being trusted.”
On the recapitalisation train, Jankara mentioned it represented a structural reset for the market.
“The continuing recapitalisation train within the Nigerian insurance coverage business is greater than only a regulatory milestone. It’s a daring transformation that can redefine the Nigerian insurance coverage business for international relevance,” he mentioned.
He defined that NAICOM was introducing a risk-based capital framework and utilizing the Massive 4 auditing corporations for impartial capital verification.
“This method is to make sure and assure confidence, equity and belief within the course of, reinforcing the business’s dedication to international greatest practices,” he mentioned, including that the reforms would assist the Federal Authorities’s aspiration of constructing a $1tn financial system.
He described the Nigerian Insurance coverage Business Reform Act 2025 as a contemporary framework that strengthens supervision, innovation and client safety, together with clearer claims timelines, harder penalties and a brand new Insurance coverage Policyholders’ Safety Fund to safeguard shoppers in instances of insolvency.
“NIRA is due to this fact not only a legislation; it’s a blueprint for a stronger, extra inclusive insurance coverage business,” he mentioned.
Wanting forward, he mentioned NAICOM would intensify client safety, strengthen supervision, broaden knowledge and analytical functionality, deepen insurance coverage penetration, and promote sustainability and innovation.
The Nigerian Insurance coverage Business Reform Act 2025 was signed into legislation in August 2025, changing outdated insurance coverage laws and modernising the regulatory framework for the sector.
It considerably raises minimal capital necessities for insurers and introduces a risk-based capital regime to make sure corporations maintain capital aligned with their threat publicity.
The Act additionally strengthens client safety, enhances market conduct requirements, and establishes an Insurance coverage Policyholders’ Safety Fund to safeguard policyholders in instances of insolvency.
