Abuja: The Nigeria Civil Aviation Authority (NCAA) and National Insurance Commission (NAICOM) have signed a Memorandum of Understanding (MoU) aimed at strengthening aviation insurance regulation and oversight. This agreement also leads to the formation of a Joint Technical Committee on Aviation Insurance to improve regulatory coordination, information sharing, and compliance.
According to News Agency of Nigeria, Capt. Chris Najomo, Director-General of NCAA, emphasized that the partnership is designed to enhance aviation safety, financial resilience, and passenger protection. Najomo highlighted the inherent risks in aviation operations and the necessity for a robust and transparent insurance framework to ensure adequate financial protection. He asserted that the NCAA’s safety mandate must work in tandem with effective aviation insurance arrangements to fortify operational safety and financial resilience within Nigeria’s aviation sector.
NAICOM has been providing expert assessments on the adequacy and viability of insurance policies for aviation operators, in accordance with Part 18.14 of the Nigeria Civil Aviation Regulations 2023. Najomo expressed hope that the MoU would foster deeper cooperation, boost stakeholder confidence, and support cost-efficient operations while addressing the challenges faced by Nigerian operators. He further stated that the partnership aims to create a balanced regulatory environment, ensuring that aviation safety and financial protection are complementary.
Mr. Olusegun Omosehin, Chief Executive Officer of NAICOM, described the agreement as a significant milestone in institutional cooperation between the two regulators. Omosehin noted that the partnership provides a coordinated framework for compliance, risk protection, information sharing, and stakeholder confidence. He emphasized that effective insurance protection is not only a regulatory requirement but also an essential risk-management tool safeguarding lives, property, and the economy against aviation-related risks.
Omosehin assured that NAICOM would offer regulatory oversight and technical expertise on insurance matters, including verification of aviation insurance arrangements. The commission will also provide information on licensed insurers authorized to underwrite aviation risks, supporting initiatives for protecting Nigerians and promoting compliance across the aviation industry. The Joint Technical Committee will serve as the implementation engine for shared objectives, facilitating information sharing, periodic reviews, and resolution of operational challenges.
Omosehin highlighted that the collaboration would boost confidence among passengers, operators, insurers, financiers, lessors, and international partners. He noted the importance of compulsory aviation liability insurance as a safeguard for air travelers and third parties, ensuring compensation where legally due following covered aviation incidents. A robust aviation insurance framework is expected to promote public confidence, support business continuity, and facilitate investment, enhancing access to financing for operators.
The MoU is aligned with Nigeria’s pursuit of a $1 trillion economy by 2030, linked to the Federal Government’s Renewed Hope Agenda. Omosehin stressed that sustained engagement, mutual trust, and regulatory excellence would be pivotal to the collaboration’s success, ultimately contributing to a safer, resilient, and trusted air transport system, while strengthening Nigeria’s insurance industry and supporting broader economic development.