Yemisi Izuora
The Chief Executive of the National Insurance Commission (NAICOM) Mr. Olusegun Ayo Omosehin, has signaled regulatory sanctions against defaulting insurance companies who misses deadline for ongoing recapitalization plans.
The Commissioner for Insurance warned insurance operators that the July 31 recapitalisation deadline is regulatory and not symbolic, urging companies yet to meet the new minimum capital requirements to act with urgency.
Speaking at the investiture of Mr. Akinjide Oluwarotimi-Orimolade as the 53rd President and Chairman of Council of the Chartered Insurance Institute of Nigeria (CIIN) in Lagos, Omosehin said the recapitalisation exercise remains a critical pillar of the Commission’s ongoing reforms aimed at building a stronger, more resilient and consumer-focused insurance industry.
According to him, the new minimum capital requirement is designed to improve insurers’ claims-paying capacity, strengthen their balance sheets, support higher domestic risk retention and prepare the industry for a risk-based capital regime.
“With about 14 days to the July 31 deadline, we commend operators that have made significant progress in raising capital, engaging investors, strengthening governance and submitting for the Commission’s verification process. However, the deadline is not symbolic; it is regulatory, and the industry must treat it with the urgency it deserves,” he said.
The Commissioner assured stakeholders that the National Insurance Commission (NAICOM) would maintain a transparent, fair and firm process, stressing that every operator must demonstrate financial soundness, regulatory compliance and operational readiness.
He added that stronger capitalisation must ultimately translate into better service delivery, prompt settlement of claims, improved consumer protection and greater public confidence in insurance.
Omosehin noted that the Nigerian Insurance Industry Reform Act (NIIRA) 2025 has provided a stronger legal framework for a more resilient, better-governed and responsive insurance market, adding that NAICOM’s reform agenda is focused on market conduct, policyholder protection, governance, insurance penetration, financial inclusion and responsible innovation.
He described professionalism as the foundation of a trusted insurance market, saying the industry’s growth depends not only on adequate capital and effective regulation but also on ethics, competence, innovation and public confidence.
“The strength of insurance depends not only on capital and regulation but also on professionalism, ethics, innovation and public confidence. A trusted insurance market cannot be built on capital alone. It requires competent professionals, ethical institutions, credible advice and fair treatment of policyholders,” he stated.
The Commissioner commended the outgoing CIIN President, Mrs. Yetunde Olubumi Ilori, for what he described as her visionary and impactful leadership, noting that her commitment to professional excellence and stakeholder engagement has strengthened both the Institute and the wider insurance industry.
He also congratulated Orimolade on his election, describing the CIIN as a strategic institution responsible for promoting professional excellence, technical competence, ethical conduct, education, certification and research across the industry.
Omosehin urged the new CIIN President to prioritise three key areas during his tenure: deepening professionalism and ethics, building a sustainable talent pipeline through mentorship, leadership development and stronger engagement with tertiary institutions, and championing innovation to improve underwriting, claims management, cybersecurity awareness and technology-driven insurance services.
He emphasised that the Institute should also support regulatory compliance by translating NAICOM’s expectations into professional competence while promoting boardroom accountability and market discipline that protects policyholders.
Reaffirming NAICOM’s commitment to partnering with the Institute, Omosehin said regulators, operators, professionals, academia and development partners must work together to build a vibrant, trusted, inclusive and globally competitive insurance industry.
He added that achieving this vision would require improved market conduct, prompt claims payment, deeper insurance penetration, disciplined corporate governance and responsible innovation.
The NAICOM boss wished the new CIIN President a successful tenure and pledged the Commission’s continued regulatory support and collaboration in advancing the growth and development of Nigeria’s insurance industry.