The Commissioner for Insurance and Chief Executive Officer of the National Insurance Commission (NAICOM), Olusegun Ayo Omosehin, has called for purposeful regulation to strengthen public trust and unlock growth in Nigeria’s insurance sector.
Speaking at a financial services forum on March 5, 2026, Omosehin said the future of the industry depends on regulations that protect policyholders while enabling innovation and responsible competition.
He noted that effective regulation must ensure timely claims settlement, strong capital requirements, and credible enforcement, while also providing a technology-friendly environment that encourages digital products, alternative data use, and new distribution models.
According to him, the sector now has a unique opportunity for transformation following the implementation of the Nigeria Insurance Industry Reform Act 2025, which aims to modernise insurance regulations, strengthen governance standards, and expand access to insurance services across the country.
Omosehin explained that NAICOM’s reform agenda will focus on five key priorities: financial soundness through risk-based capital supervision, stronger governance and compliance standards, improved consumer protection, stricter market conduct practices, and accelerated innovation and digitisation.
He emphasised that while regulatory enforcement on issues such as capital adequacy, liquidity, reinsurance quality, and anti-money laundering compliance will remain firm, the commission will also adopt flexible approaches that support micro-insurance, digital operators, and innovative business models.
To improve transparency and confidence in the sector, the NAICOM chief disclosed plans to publish market conduct metrics, including claims settlement timelines, complaint resolution outcomes, and other service indicators to enable customers make informed decisions.
Omosehin also stressed the need for collaboration across the financial ecosystem, including banks, pension funds, telecom companies, and fintech firms, to expand insurance access through premium financing, embedded insurance products, and risk-based infrastructure investments.
He added that NAICOM will digitise key regulatory processes such as licensing, product filings, and reporting while strengthening coordination with other regulators, including the Central Bank of Nigeria and the Securities and Exchange Commission Nigeria.
According to him, a stronger insurance market will not only protect households and businesses from financial shocks but also mobilise long-term capital for national development and support Nigeria’s ambition to become Africa’s leading financial hub.
Omosehin concluded that rebuilding trust, strengthening governance, and encouraging innovation remain essential to repositioning insurance as a strategic pillar of Nigeria’s economic growth.
Yahoo Mail: Search, Organize, Conquer
