By David Akinmola
The National Insurance Commission (NAICOM) has announced the successful completion of the insurance industry’s 12-month recapitalisation exercise, confirming that 43 insurance and reinsurance companies have met the new minimum capital requirements under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, while eight operators remain under final regulatory verification.
The announcement, made at the weekend, marks the first official update from the regulator following the expiration of the July 31, 2026 recapitalisation deadline and signals the beginning of a new phase of regulatory supervision expected to reshape Nigeria’s insurance landscape through stronger capitalisation, improved governance and enhanced underwriting capacity.
NAICOM disclosed that the eight companies submitted evidence of compliance shortly before the statutory deadline and are currently undergoing final verification and regulatory review, a process expected to be concluded within the next 14 days.
The Commission said the recapitalisation exercise, conducted pursuant to Section 15 and other relevant provisions of the NIIRA 2025 signed into law by President Bola Ahmed Tinubu on July 31, 2025, represents a defining milestone in the transformation of Nigeria’s insurance industry.
According to the regulator, the exercise has strengthened the financial resilience of operators, attracted substantial domestic and foreign investment and restored investor confidence in the insurance sector.
“This successful completion marks the beginning of a new era for insurance in Nigeria. It represents a major step towards building a stronger, more resilient, adequately capitalised, professionally governed and policyholder-focused insurance industry capable of supporting national economic growth, deepening financial inclusion and contributing meaningfully to the stability of Nigeria’s financial system,” the Commission stated.
NAICOM explained that following the enactment of the NIIRA 2025, it developed comprehensive implementation guidelines covering the new minimum capital requirements, eligible capital instruments, admissible assets, verification procedures, reporting obligations and supervisory expectations to ensure a transparent and credible recapitalisation process.
The Commission said the outcome of the exercise would significantly improve insurers’ ability to settle claims promptly, retain larger risks within the domestic market and support strategic sectors of the economy, including infrastructure, oil and gas, aviation, marine and other long-term investments.
It added that the stronger capital base would also strengthen the implementation of its Risk-Based Capital (RBC) framework by ensuring that regulatory capital aligns with the size, complexity and risk profile of individual insurance companies.
Industry analysts described the announcement as one of the most significant regulatory milestones in Nigeria’s insurance sector since the banking consolidation exercise, noting that the recapitalisation is expected to trigger stronger competition, improve corporate governance and enhance public confidence in insurance.
They observed that the exercise has already accelerated mergers, acquisitions, rights issues and strategic investments across the industry, with operators raising billions of naira to meet the new capital thresholds.
Market observers also believe the emergence of fewer but stronger insurance companies will improve underwriting capacity, reduce reliance on foreign reinsurers and enable local insurers to participate more effectively in financing major infrastructure projects and supporting economic development.
NAICOM reaffirmed its commitment to policyholder protection, market development and financial stability, assuring policyholders, investors and other stakeholders that it would continue to strengthen consumer protection, promote sound market conduct and accelerate insurance penetration through innovation, technology and digital transformation.
The Commission said it would continue to provide updates on post-recapitalisation supervisory actions, companies undergoing final verification, industry restructuring initiatives and the implementation of the Risk-Based Capital framework.
It also expressed appreciation to the Federal Government, shareholders, investors, insurance operators, development partners, professional bodies and other stakeholders for their support throughout the recapitalisation exercise.
“The successful completion of this recapitalisation exercise is not the destination but the foundation. It marks the beginning of a new era in which stronger institutions, stronger governance and stronger public confidence will make insurance work better for every Nigerian,” the Commission stated.
The announcement effectively brings to a close one of the most ambitious reform programmes in the history of Nigeria’s insurance industry, with stakeholders now awaiting the final outcome of the verification process for the remaining eight operators and the commencement of post-recapitalisation supervisory measures expected to redefine competition, risk retention and long-term growth in the sector.
NOTICE TO THE GENERAL PUBLIC
LIST OF INSURANCE/REINSURANCE COMPANIES CONFIRMED AND VERIFIED BY THE COMMISSION AS COMPLIANT WITH THE MINIMUM CAPITAL REQUIREMENTS UNDER NIIRA 2025 AND APPLICABLE INSURANCE LAWS AND GUIDELINES LIC
001 Zenith General Insurance Company Limited Non-Life LIC
002 Leadway Assurance Company Limited Composite LIC
003 Custodian Life Assurance Limited Life LIC
004 Custodian and Allied Insurance Limited Non-Life LIC
005 NEM Insurance Plc Non-Life LIC
006 AIICO Insurance Plc Composite LIC
007 CHI Life Assurance Limited Life LIC
008 Heirs General Insurance Limited Non-Life LIC
009 Fin Insurance Company Limited Non-Life LIC
010 Cornerstone Insurance Plc Composite LIC
011 Mutual Benefits Assurance Plc Non-Life LIC
012 Heirs Life Assurance Limited Life LIC
013 Tangerine General Insurance Ltd Non-Life LIC
014 Capital Express Indemnity Insurance Limited Non-Life LRC
001 Continental Reinsurance Plc Reinsurance LRC
002 FBS Reinsurance Limited Reinsurance LIC
015 Sanlam-Allianz General Insurance Nigeria Ltd Non-Life LIC
016 Prudential Zenith Life Insurance Ltd Life LIC
017 Consolidated Hallmark Insurance Limited Non-Life LIC
018 Stanbic IBTC Insurance Limited Life LIC
019 Sanlam-Allianz Life Insurance Nigeria Limited Life LIC
020 Sterling Assurance Nigeria Limited Non-Life LIC
021 AXA Mansard Insurance Plc Composite LIC
022 Unitrust Insurance Co. Limited Non-Life LIC
023 Capital Express Life Assurance Limited Life LIC
024 Mutual Benefits Life Assurance Ltd Life LIC
025 NSIA Insurance Limited Non-Life LIC
026 Rex Insurance Limited Non-Life LIC
027 LASACO Assurance Plc Composite LIC
028 Linkage Assurance Plc Non-Life LIC
029 Anchor Insurance Company Ltd Non-Life LIC
030 Enterprise Life Assurance Company (Nigeria) Ltd Life LIC
031 Sunu Assurances Nigeria Plc Non-Life LIC
032 KBL Insurance Ltd Non-Life LIC
033 International Energy Insurance Plc Non-Life LIC
034 Veritas Kapital Assurance Plc Non-Life LIC
035 NPF Insurance Company Ltd Non-Life LIC
036 Fortis Global Insurance Plc Composite LIC
037 Coronation Life Assurance Limited Life LIC
038 Industrial and General Insurance Plc Composite LIC
039 Coronation Insurance Plc Non-Life LIC
040 Prestige Assurance Plc Non-Life LIC
041 Great Nigeria Insurance Plc Composite
Signed MANAGEMENT 31ST JULY 2026
