Lagos Building Insurance Scheme launched; NAICOM seeks nationwide adoption

On Friday, Governor Babajide Sanwo-Olu unveiled LAGBIS, the Building Insurance Scheme launched by Lagos State. This mandatory coverage applies to structures with more than one storey and was created through collaboration between the State Building Control Agency and Veda Technology.

The governor stressed that urban expansion in the state must be paired with robust safety measures. Endorsement has come from both NAICOM and the Nigerian Insurers Association, who are promoting the adoption of comparable enforcement models across other Nigerian states.

According to Olusegun Omosehin, NAICOM's Commissioner for Insurance and CEO, the programme marks a watershed moment—transitioning from rules existing merely in legislation toward genuine, on-the-ground implementation. Both organizations view this as vital for enhancing consumer safeguards and expanding the nation's insurance reach.

Coverage under the scheme protects against financial losses stemming from fire, flooding, and structural breakdown, thereby shielding property owners, tenants, and construction workers from the economic toll of building failures. Officials in the insurance sector have made pledges to root out counterfeit policies and build in greater transparency, though the available documents do not specify exact timelines for such efforts.

Regulatory support has been assured by NAICOM, which will furnish the institutional backbone required for LAGBIS to function effectively. The transformation represented here—from regulations that existed in writing alone to an actively enforced, supervised operation—positions this model as one that additional states might embrace.

Doing so would help close gaps in Nigeria's insurance coverage and bolster how risk is managed within real estate development.