Lagos: The National Insurance Commission (NAICOM) says the recently concluded recapitalisation exercise raised the Nigerian insurance industry’s total capital to N1.079 trillion.
According to News Agency of Nigeria, Mr Olusegun Omosehin, Commissioner for Insurance and Chief Executive Officer of NAICOM, disclosed this during a media interactive session on developments in the insurance sector held in Lagos. The commissioner stated that 48 insurance and two reinsurance entities successfully crossed the recapitalisation threshold and had been re-licensed, signaling renewed confidence in the Nigerian insurance market.
Omosehin emphasized that the recapitalisation was designed to assist companies in raising funds, merging, or partnering with others, not to eliminate any operator from the market. He explained that NAICOM provided clear guidelines, timelines, and regulatory requirements throughout the process, ensuring that decisions were guided by the law, prudential principles, and the long-term interest of the industry.
He also highlighted that the recapitalisation was one of the most transparent exercises undertaken by the commission, involving self-assessment by operators, NAICOM’s review, independent verification by major audit firms, and final consideration by the commission’s governing board. Operators were required to transfer raised capital into escrow accounts with the Central Bank of Nigeria for proper verification, ensuring compliance with anti-money laundering and counter-terrorism financing regulations.
Omosehin stated that NAICOM would continue to work with operators to ensure compliance with established regulatory requirements. The commission plans to focus on deepening insurance penetration, expanding financial inclusion, and supporting digital innovation and insurtech growth.
The commissioner dismissed fraud allegations related to the recapitalisation, describing them as attempts to discredit the commission and the exercise. The nationwide recapitalisation initiative began following the signing of the Nigerian Insurance Industry Reform Act (NIIRA) 2025 into law by President Bola Tinubu on July 31, 2025, with an 11-member Recapitalisation Committee overseeing the 12-month transition.