FG Halts NAICOM's Disputed Recapitalisation Fees

The Federal Ministry of Finance directed the National Insurance Commission (NAICOM) to suspend the enforcement of disputed recapitalisation fees and directives requiring NICON Insurance Limited and Nigeria Reinsurance Corporation to transfer their entire fresh capital into an escrow account with the Central Bank of Nigeria (CBN). This directive was communicated in a letter dated August 6, 2026, signed by Permanent Secretary Raymond Omachi on behalf of Minister Taiwo Oyedele.

The letter followed a petition from the two companies, dated July 27, 2026, challenging the legality of the N305 million assessment against NICON and N375 million against Nigeria Re as part of the recapitalisation exercise under the Nigerian Insurance Industry Reform Act (NIIRA), 2025. The companies argued that the demands exceeded the statutory deposit requirement of 10% as per Section 16(3) of NIIRA 2025.

The ministry is seeking NAICOM's position on these grievances.