The Digest:
The National Insurance Commission (NAICOM) has released stringent recapitalisation guidelines, mandating insurers and reinsurers to meet new minimum capital requirements by July 2026. This move, under the Nigerian Insurance Industry Reform Act (NIIRA) 2025, aims to enhance financial stability and industry resilience.
Key Points:
- Non-life insurers must raise capital to ₦15 billion, life insurers to ₦10 billion
- Reinsurers face the highest threshold at ₦35 billion
- Companies must submit detailed recapitalisation plans by September 30, 2025
- Monthly progress reports are required, starting in November 2025
- Capital verification exercises will run from November 2025 to June 2026
- SEC has established a dedicated desk to fast-track capital market approvals
- Strict enforcement warnings were issued for non-compliant firms
