BY NKECHI NAE-ESEZOBOR—The Commissioner for Insurance and Chief Executive Officer, National Insurance Commission (NAICOM), Mr. Olusegun Omosehin, has pledged to ensure that no duly registered insurance firm in Nigeria fails during the insurance industry recapitalization which ends 31, July 2026.
He disclosed this during the 2026 Nigerian Insurers Association (NIA) Awards and Recognition Ceremony, held in Lagos on Thursday.
Speaking through the Deputy Commissioner for Insurance (Finance and Administration), Ekerete Ola Gam-Ikon, he explained that the regulator is stepping up supervision as insurance companies work to comply with the capital requirements and need the deadline.
The NAICOM boss revealed that the Commission has already pinpointed firms with fragile finances and is assisting them with recovery plans, including restructuring and consolidation arrangements.
He emphasized that the authority has drawn a firm line against any insurer going under, noting that struggling operators are being supported through reorganisation efforts, partnerships, or takeovers to maintain their operations.
To strengthen trust among the public, NAICOM is shifting its approach from shutting down troubled firms to maintaining their operating permits by encouraging either mandatory or voluntary mergers.
Omosehin also pointed to the intervention in African Alliance Insurance as a model for how challenged companies can be revived and repositioned to continue business instead of being dissolved.
“This emphasis on mergers and acquisitions forms part of a wider reform plan designed to reshape Nigeria’s insurance sector. The strategy prioritises protecting customers, enhancing supervisory efficiency, maintaining strong financial footing through the recapitalisation programme, and expanding market reach through more robust and better-funded institutions.
Apart from the merging of companies, Omosehin pointed out that a stronger sector—emerging from effective combinations—will be in a better position to expand insurance penetration nationwide.
