BY NGOZI ONYEAKUSI

CFI, NAICOM, Olusegun Omosehin

The National Insurance Commission (NAICOM) has challenged insurance companies to translate the gains from the recently concluded recapitalisation exercise into stronger underwriting capacity, improved claims settlement, innovation and better customer experience.

The Commissioner for Insurance and Chief Executive Officer of NAICOM, Mr. Olusegun Ayo Omosehin, gave the charge at the BusinessDay Insurance Conference 2026, with the theme, “From Capital to Capacity: Driving Growth, Innovation and Trust in Nigeria’s Insurance Sector.”

Omosehin said the success of the recapitalisation should no longer be measured solely by the amount of capital raised, stressing that the ultimate objective was to build stronger institutions capable of supporting the Nigerian economy.

According to him, capital becomes meaningful only when it translates into better service delivery, stronger governance, technological advancement, prompt claims settlement, product innovation and improved customer experiences.

He said the industry must therefore move beyond discussions around the volume of capital raised and focus on what the additional capital was accomplishing.

“Has it strengthened underwriting capacity? Has it enhanced claims-paying ability? Has it improved customer satisfaction? Has it increased public confidence?” he asked, noting that these were the issues that should define the next phase of the industry.

The Commissioner said Nigeria’s expanding population, entrepreneurial activities, infrastructure investments, digital economy, agricultural transformation and growing middle class presented significant opportunities for insurance growth.

He, however, noted that the opportunities could only be fully harnessed by insurance institutions with adequate capacity to underwrite major infrastructure projects, retain more risks domestically, develop products for emerging risks and extend insurance protection to underserved communities.

Innovation critical to industry relevance
Omosehin also identified technology and innovation as critical to the future of the insurance industry, saying changing consumer expectations were placing new demands on insurers.

He said modern customers increasingly expect convenience, speed, transparency, personalisation and simplicity, adding that insurance companies were now being compared with technology companies, digital banks, e-commerce platforms and telecommunications providers.

He urged insurers to leverage technology, data analytics and artificial intelligence responsibly to simplify processes, understand customer needs and develop affordable and accessible insurance solutions.

The Commissioner said NAICOM remained committed to initiatives promoting digital transformation, InsurTech development, inclusive insurance, product innovation and operational efficiency.

Claims payment key to rebuilding trust
Omosehin identified trust as one of the most important issues confronting the industry, stressing that the credibility of insurance ultimately depends on the industry’s ability to fulfil its promises to policyholders.

He said NAICOM had placed renewed emphasis on consumer protection and claims settlement, describing claims payment as the most visible proof of insurance value.

According to him, every settled claim strengthens confidence, while delayed claims weaken it, adding that fair settlements reinforce trust and unresolved complaints erode it.

He said the Commission would continue to champion policies and initiatives that put policyholders at the centre of insurance operations.

Human capital, emerging risks
The Commissioner also stressed the importance of human capital to the industry’s post-recapitalisation growth, saying financial capital alone could not transform opportunities into results.

He called for greater investment in talent development, professional education, ethical leadership and continuous learning, particularly as businesses increasingly face sophisticated risks such as cyber threats, climate-related risks, supply chain disruptions, artificial intelligence risks, pandemics and geopolitical uncertainties.
Omosehin further said a stronger insurance sector would contribute to entrepreneurship, investment, business protection, financial inclusion, resilience and confidence in the wider financial system.

He urged all stakeholders—including regulators, insurers, brokers, the media and policyholders—to play their respective roles in building a more professional, innovative and trusted insurance industry.

“The journey from capital to capacity is not one that NAICOM can undertake alone,” he said, calling for collaboration, partnership and leadership across the insurance ecosystem.

He said the next chapter of the industry should be defined by the ability to convert capital into capability, capability into innovation, innovation into trust and trust into sustainable growth.