by Niyi Jacobs
A devastating fire at Great Nigeria Insurance’s building has left three people dead and 13 injured, bringing the spotlight on glaring regulatory and operational gaps in Nigeria’s insurance sector.
The building, valued at ₦90–350 million, was uninsured, violating NIIRA 2025 Section 76, which mandates Occupiers’ Liability Insurance for insurers.
The incident means victims face years of litigation with no guaranteed compensation, highlighting weaknesses in law enforcement and oversight. BusinessNg analysts notes that “If insurance coverage had been in place, compensation could have been processed within 30–90 days”.
Beyond human tragedy, the fire has intensified GNI’s financial crisis. The insurer now faces an 85–90% chance of merger or liquidation, needing ₦13–17 billion in recapitalisation by July 2026 to meet regulatory requirements.
Analysts warn that 15–25% of Nigeria’s insurers may struggle to meet the same deadline, potentially triggering the largest consolidation wave in the industry’s history.
Regulators, including NAICOM, are under pressure to enforce compliance, protect victims, and ensure sector stability.
The GNI fire has become a cautionary tale on the consequences of non-compliance, weak enforcement, and delayed recapitalisation
