BY NGOZI ONYEAKUSI

The National Insurance Commission (NAICOM) has disclosed that the recently concluded recapitalisation exercise in Nigeria’s insurance industry has produced a total capital of ₦1.079 trillion.

The Commissioner for Insurance and Chief Executive Officer of NAICOM, Mr Olusegun Ayo Omosehin, disclosed this on today at an interactive session with insurance journalists in Lagos.

Omosehin said the capital raised through the recapitalisation exercise represented a significant milestone in the commission’s efforts to strengthen the financial capacity, resilience and competitiveness of the Nigerian insurance industry.

He noted that the successful completion of the exercise would provide insurance companies with stronger capital bases to underwrite larger risks, improve their capacity to meet policyholder obligations and contribute more meaningfully to the growth of the Nigerian economy.

The Commissioner also expressed appreciation to stakeholders in the insurance industry for their cooperation and commitment throughout the exercise.

The insurance journalists, in their response, congratulated NAICOM on the successful completion of the recapitalisation programme, describing it as an important development for the industry.

They commended the commission for providing regulatory direction and maintaining engagement with operators and other stakeholders throughout the process.

The recapitalisation exercise was initiated by NAICOM as part of efforts to reposition the Nigerian insurance industry, strengthen the financial capacity of operators and improve their ability to retain more risks within the country.

The exercise was also designed to enhance the industry’s capacity to support major investments and economic activities, improve confidence in the sector and deepen insurance penetration.

NAICOM had set new minimum capital requirements for insurance companies, with operators required to raise additional capital to meet the prescribed thresholds.

The commission subsequently reviewed applications and documentation submitted by operators and issued compliance approvals to companies that met the requirements.

NAICOM announced the successful completion of the exercise in 2025, marking what it described as a new era for the Nigerian insurance industry.

The completion of the exercise is expected to strengthen the industry’s balance sheet and create a more resilient insurance sector capable of underwriting bigger risks, supporting economic development and providing improved services to policyholders.
With the fresh capital now injected into the industry, attention is expected to shift towards how operators deploy the funds to expand their businesses, improve service delivery, settle legitimate claims promptly and deepen insurance penetration across the country.