Joy Agwunobi
As Nigeria navigates its economic challenges, the National Insurance Commission (NAICOM) has doubled down on its commitment to fostering a thriving insurance sector. With bold reforms and strategic initiatives, the board and management of NAICOM are determined to establish a robust and standardised industry capable of driving investor confidence and contributing to the broader economy.
During its final board and management meeting for 2024, NAICOM reiterated its mandate to set industry standards, regulate insurance premiums, and oversee transactions involving insurers and reinsurers, both locally and internationally. The commission also highlighted its priority to ensure compliance across the sector while laying the groundwork for financial stability and innovation as 2025 approaches.
The commission’s focus on operational excellence, risk-based supervision, and consumer protection is expected to enhance the sector’s contribution to Nigeria’s economic development.
Speaking during the meeting, Olusegun Omosehin, the commissioner for insurance and Chief Executive Officer of NAICOM, highlighted the potential of the recently introduced insurance bill.
“ We are excited as to some of the clear opportunities that abound in the new bill, foremost of this is the minimum share capital requirement for financial institutions; this will speak to the ability of the sector to present sound and stable entities that can give comfort and confidence to the insuring public,” he said.
Additionally, Omosehin noted that the bill’s provisions around risk-based supervision represent a significant milestone for the commission as a regulator. “ The provision in the new Bill around risk based supervision also would be a welcome development for the commission as a regulator,” he stated.
Omosehin also emphasised the bill’s role in strengthening consumer protection and consolidating various legislative frameworks into a single, comprehensive act. According to him, these developments signify a new era for the industry, one that aligns with global best practices and fortifies NAICOM’s regulatory effectiveness.
On his part, Umar Mohammed, director at NAICOM, assured policyholders and industry stakeholders of the commission’s relentless efforts to foster a stable and progressive insurance sector.
“I would like to assure Insurance policy holders and all other stakeholders within the industry that the commission is doing everything within its power to ensure a sector with property and development as we go into the new year 2025. We look forward to a year filled with opportunities and development so we will do everything we can within our power to ensure a more stable Insurance sector,” Mohammed stated.
On her part, Halima Kyari, the Chairperson of NAICOM’s Governing Board, elaborated on the commission’s proactive measures in 2024. “During the year, we issued new operating licenses to qualified industry players, conducted extensive examinations of existing operators, and safeguarded shareholder interests. Additionally, we took necessary yet challenging steps, such as dissolving the management and board of African Alliance Insurance PLC and inaugurating an interim board to ensure stability and accountability within the sector,” Kyari explained.
Through these efforts, NAICOM aims to position the insurance industry as a cornerstone of economic resilience, fostering trust, stability, and innovation in an increasingly dynamic market. As 2025 approaches, the commission’s leadership remains steadfast in its mission to transform the industry and deliver value to all stakeholders.
