The National Insurance Commission (NAICOM) has stressed that it has no intention of extending the deadline of the ongoing insurance recapitalisation exercise fixed for July 31, 2026.
The Commissioner for Insurance, Mr Olusegun Omosehin, at a high-level media briefing in Lagos, emphasised that “The 31 July deadline is sacrosanct.”
Mr Omosehin rationalised that NAICOM said it was not worried by the sluggishness of some underwriting companies towards the exercise.
“It is embedded in the law, and as a regulator, we do not have the powers to alter a date set by an Act of the National Assembly,” he explained, noting that the timeline is a statutory requirement under the Nigeria Insurance Industry Reform Act of 2025.
“We would not be drawn into a last-minute rush or entertain pleas for extensions,” Mr Omosehin warned, adding that any adjustment to the schedule would require a formal amendment of the Act by the National Assembly and subsequent presidential assent, a path he stated the commission is not prepared to take.
He further noted that while 20 insurance companies have officially stepped forward to begin their capital verification process, the level of urgency across the board does not match the requirements of the law.
“We want a stronger, more resilient industry that can support Nigeria’s target of a $1tn economy,” the Commissioner added, stressing that the ultimate goal is not just capital but the capability to underwrite large risks and protect policyholders.
“Capital alone is not the goal; it is about the capability to underwrite large risks,” he reiterated, while urging operators who may lack the “stand-alone stamina” to meet the new requirements to consider mergers and acquisitions immediately rather than waiting.
“We warn against ‘emergency marriages’ concluded at the eleventh hour, as such ad hoc arrangements often lead to lingering liabilities and post-merger integration crises,” Mr Omosehin said.
The NAICOM chief also confirmed that the regulator is currently scanning all operating firms and will soon make the results of this regulatory assessment public.
While re-emphasising the July 31 deadline, he warned that all funds raised must be deposited in designated escrow accounts.