NAICOM Clears 48 Insurers Post-Recapitalisation in Nigeria

Following the conclusion of the recapitalisation exercise under the Nigerian Insurance Industry Reform Act (NIIRA), the National Insurance Commission (NAICOM) approved 48 insurance companies and two reinsurance firms that met the new minimum capital requirements. This development strengthens Nigeria’s insurance sector financially.

However, industry experts and credit rating agencies caution that meeting capital thresholds is just the beginning of a necessary transformation. They emphasize that while a larger capital base allows insurers to absorb unexpected claims and market shocks, it does not guarantee an improved credit profile.

The Risk Audit and Compliance Committee (RACC) 2026 Annual Retreat highlighted that “Capital gets in the room. Capability keeps you in business.” This shift in focus underscores the importance of organizational capability in managing and deploying capital effectively.

The retreat introduced a resilience framework emphasizing governance, risk management, controls, data, capability, and trust. Operational risks and underwriting practices remain critical as insurers navigate the post-recapitalisation landscape.