The National Insurance Commission (NAICOM) has ruled out any extension of the ongoing insurance industry recapitalisation programme, insisting that the deadline is legally binding and cannot be altered through administrative action.
The position was reaffirmed on Tuesday in Abuja by the Deputy Commissioner for Insurance (Technical), Usman Jankara, who spoke on behalf of the Commissioner for Insurance and Chief Executive Officer of NAICOM, Olusegun Omosehin, during a seminar organised for insurance correspondents.
What is the Deadline Backed by Law?
Responding to questions from journalists, Jankara explained that NAICOM lacks the authority to shift the recapitalisation timeline because the framework is entrenched in the Nigerian Insurance Industry Reform Act (NIRA) 2025.According
According to him, the Act expressly sets July 30, 2026 as the final date for compliance, adding that any attempt to amend the deadline would require a return to the National Assembly for legislative changes and fresh presidential assent.He
He stressed that such a process is unnecessary, noting that the commission considers the timeline both realistic and achievable for insurance operators that are serious about long-term sustainability.
What is the Stronger Insurance Market Expected?
Jankara expressed confidence that the recapitalisation exercise would ultimately strengthen Nigeria’s insurance market, stating that only firms with sound corporate governance, adequate capital buffers, and strong financial capacity would remain operational after the deadline.He
He added that NAICOM expects the exercise to usher in a new generation of insurers that are better capitalised, professionally managed, and more capable of meeting their obligations to policyholders.
According to him, the reform is designed to improve consumer confidence, enhance claims-paying ability, and position the insurance sector to play a more significant role in Nigeria’s economic development.
Frequently Asked Questions (FAQs)
Q1: When is the insurance recapitalisation deadline in Nigeria?
A1: The deadline is July 30, 2026, as stipulated by the Nigerian Insurance Industry Reform Act 2025.
Q2: Can NAICOM extend the recapitalisation deadline?
A2: No. NAICOM says it lacks the legal authority to extend the deadline without an amendment by the National Assembly.
Q3: Why is insurance recapitalisation important?
A3: It aims to strengthen insurers’ financial capacity, improve governance, protect policyholders, and boost confidence in the insurance industry.
