NAICOM Introduces Insurance Protection Fund to Address Sector Insolvency

The National Insurance Commission (NAICOM) in Nigeria has introduced an insurance protection fund as part of efforts to strengthen the insurance sector. The fund, embedded in the Nigerian Insurance Industry Reform Act, aims to tackle insolvency issues and enhance market conduct rules.

NAICOM's Commissioner for Insurance, Olusegun Ayo Omosehin, highlighted the fund's role in safeguarding consumers in case of insurer insolvency. This move is part of broader initiatives to revamp the Nigerian insurance industry and increase its global relevance through risk-based capital requirements and regulatory enhancements.