BY NKECHI NAECHE-ESEZOBOR—Universal Insurance Plc has reinforced its financial strength and regulatory compliance by successfully meeting a key recapitalisation requirement under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
The company confirmed that it has fully paid its ₦1.5 billion statutory deposit to the Central Bank of Nigeria (CBN), including an additional ₦1.165 billion recently remitted to meet the Minimum Capital Requirement (MCR) guidelines issued by the National Insurance Commission (NAICOM).
Managing Director/Chief Executive Officer, Dr. Japhet Duru, disclosed that the company recently paid an additional ₦1.165 billion to the CBN, complementing the ₦335 million earlier deposited, to complete the statutory requirement. The additional payment followed the approval of shareholders at the company’s Extraordinary General Meeting (EGM) held on February 4, 2026.
“I am delighted to inform you that we have secured all mandatory consent from our shareholders at the EGM to raise ₦15 billion for the purpose of recapitalisation. We are confident that Universal Insurance Plc will be on the roll call when NAICOM releases the compliance list on July 31, 2026,” Duru said.
NIIRA 2025, signed into law by President Bola Tinubu on July 31, 2025, introduced a new framework for minimum capital requirements for insurance and reinsurance companies as part of broader reforms aimed at strengthening Nigeria’s insurance sector. Existing operators were given 12 months from the commencement date to meet the revised thresholds or face regulatory sanctions, including possible licence cancellation, merger directives, or liquidation.
Under the Act, life insurance companies are required to maintain a minimum capital base of ₦10 billion, non-life operators ₦15 billion, and reinsurance firms ₦35 billion. The new capital thresholds, which represent a significant increase from previous requirements, are complemented by a Risk-Based Capital (RBC) framework designed to align capital adequacy with each company’s risk exposure.
The recapitalisation deadline of July 30, 2026 remains in effect, with NAICOM reiterating that the timeline will not be extended and that compliance monitoring is ongoing.
Duru also reaffirmed the company’s commitment to prompt settlement of genuine claims and delivering superior customer service as it strengthens its capital base.
