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The Nigerian Senate has passed the Nigerian Insurance Industry Reform Bill, 2024, raising minimum capital requirements for insurance businesses. The bill aims to modernize the sector, enhance competitiveness, and impose stricter penalties for operating unlicensed businesses, contributing to Nigeria's economic growth.

The Nigerian Senate has passed the Nigerian Insurance Industry Reform Bill, 2024, which mandates new minimum capital requirements for insurance businesses in the country. The bill stipulates that non-life insurance businesses must maintain at least ₦25 billion in capital, life assurance businesses ₦15 billion, and reinsurance businesses ₦45 billion.

The bill also proposes a penalty of ₦25 million for individuals operating unlicensed insurance businesses, with a potential two-year prison sentence. It aims to consolidate existing laws and modernize the insurance sector to enhance Nigeria's competitiveness in the global market. The bill has faced some opposition, particularly regarding the high capital requirement for reinsurance businesses, but was ultimately passed with the support of most lawmakers. Deputy Senate President Barau Jibrin emphasized the importance of updating the legal framework to align with current economic realities.

The bill is expected to significantly improve the insurance ecosystem and contribute to the country’s economic growth.