More than 70 per cent of insurance companies in Nigeria have completed the independent verification of their capital positions required under the National Insurance Commission (NAICOM) recapitalisation programme, as operators make a final push to meet the July 31, 2026 deadline.
The update was disclosed by the chairman of the Nigerian Insurers Association (NIA), Ebelechukwu Nwachukwu, during an interview with the News Agency of Nigeria (NAN) on Monday in Abuja.
Nwachukwu said the recapitalisation exercise, one of the biggest regulatory reforms in the industry in recent years, has now entered its final stage.
“We have all paid for these processes, and my company has been verified. More than 70 per cent of the companies have completed the verification exercise,” she stated.
According to Nwachukwu, since December 2025, insurers have been submitting monthly reports to NAICOM detailing changes in capital from business activities, claims settlements, and asset transactions to enable the regulator to monitor compliance.
“Insurers were also required to lodge statutory deposits of 10 per cent of the new minimum capital with the Central Bank of Nigeria (CBN), with the majority of NIA members already meeting the obligation and submitting evidence to NAICOM.”
The recapitalisation exercise follows the enactment of the Nigerian Insurance Industry Reform Act, 2025, which raised minimum capital thresholds significantly.
The programme is aimed at strengthening insurers’ financial capacity, improving claims-paying ability, boosting public confidence, and positioning Nigerian companies to underwrite larger risks and compete internationally.
Nwachukwu noted that NAICOM has continued engaging companies facing capital shortfalls to ensure an orderly transition that protects policyholders.
The compliance drive has already triggered fresh capital raises. Industry observers expect the exercise to also trigger another wave of mergers, acquisitions and strategic partnerships among firms unable to meet the thresholds independently.
NAICOM has maintained that the July 31 deadline is final* and there will be no extension.
In May, the Commissioner for Insurance, Olusegun Omosehin, said the Commission is committed to preventing the collapse of any licensed insurer while ensuring the industry emerges stronger and more resilient.
Nwachukwu added that NAICOM is expected to announce the final outcome of the recapitalisation exercise after the deadline, with the goal of producing a better-capitalised insurance sector capable of driving economic growth.
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