The National Insurance Commission (NAICOM) has presented new licence certificates to insurance companies that successfully met the Commission’s revised minimum capital requirements, marking the formal conclusion of the industry’s recapitalisation exercise and the beginning of a new phase of regulatory reforms.
The licence certificates were presented to the compliant insurers at the Commission’s headquarters in Abuja.
Speaking at the ceremony, Ayo Omosehin, commissioner for Insurance, congratulated the companies, describing the issuance of the new licences as a significant milestone in the recapitalisation programme.
According to him, the development signals the beginning of a new regulatory era aimed at strengthening the financial resilience of insurance companies, improving corporate governance, fostering product innovation and enhancing the competitiveness of Nigeria’s insurance industry.
Omosehin urged the insurers to leverage their stronger capital base to develop innovative products, improve operational efficiency and expand insurance penetration across the country.
He said the Commission expects the recapitalised companies to deliver greater professionalism, innovation and stronger returns for investors, adding that the successful completion of the recapitalisation exercise has positioned the industry for its next phase of transformation.
The Commissioner also disclosed that the Commission’s next major regulatory initiative will be the implementation of the Risk-Based Capital (RBC) framework, under which insurers will be required to maintain capital levels that reflect the risks associated with their business portfolios.
According to him, the framework is designed to strengthen the industry’s financial stability by ensuring that capital adequacy is aligned with each insurer’s risk exposure.
Omosehin reaffirmed NAICOM’s commitment to supporting the industry’s growth by removing regulatory bottlenecks where necessary, while maintaining effective supervision and enforcing standards that protect policyholders and strengthen public confidence in the insurance market.
Business A.M. recently reported that 43 insurance companies were declared compliant with NAICOM’s new minimum capital requirements following the conclusion of the recapitalisation exercise. The Commission also disclosed that eight other insurers that submitted evidence of compliance shortly before the July 31 deadline remain under verification, with the review expected to be concluded within 14 days.
