Lagos APC spokesman Seye Oladejo praises President Bola Tinubu as the right leader for Nigeria during 65th Independence anniversary message.
President Bola Ahmed Tinubu has signed into law the Nigerian Insurance Industry Reform Act (NIIRA) 2025, a landmark legislation designed to reshape Nigeria’s financial services landscape and accelerate the nation’s journey toward a $1 trillion economy.
The Act repeals and consolidates outdated insurance laws into a modern, unified framework, providing for comprehensive regulation and supervision of insurance and reinsurance businesses across the country.
In a statement by Bayo Onanuga, Special Adviser to the President on Information & Strategy, explains that this reform underscores the administration’s commitment to financial stability, inclusive growth, and economic transformation under the Renewed Hope Agenda.
Key Reforms in NIIRA 2025
The NIIRA introduces sweeping measures that directly affect both businesses and consumers, including:
- Stronger Capital Requirements – Ensuring the financial soundness and credibility of operators.
- Compulsory Insurance Policies – Expanding consumer protection across key sectors.
- Digitisation of Insurance Services – Driving efficiency, transparency, and easier access for Nigerians.
- Prompt Claims Settlement – Establishing zero tolerance for delays in claims processing.
- Policyholder Protection Funds – Safeguarding consumers in cases of company insolvency.
- Regional Integration – Expanding Nigeria’s participation in regional schemes such as the ECOWAS Brown Card System.
Implications for Businesses and Consumers
For businesses, the Act provides a more transparent and predictable regulatory environment, making Nigeria’s insurance industry more attractive to local and foreign investors. Enhanced regulation and compulsory insurance policies will also help reduce risk exposure and foster a culture of corporate resilience.
For consumers, the reform represents stronger protection, faster claims processes, and broader access to insurance services through digital platforms. With policyholder protection funds in place, Nigerians are less vulnerable to financial loss in cases of insurer insolvency.
Unlocking Nigeria’s Insurance Potential
The National Insurance Commission (NAICOM) is tasked with administering and enforcing the provisions of NIIRA 2025. By implementing these reforms, NAICOM aims to significantly improve insurance penetration, restore public confidence, and unlock the industry’s potential to drive economic growth.
The Act is expected to attract fresh investments, enhance consumer trust, and position Nigeria as a competitive insurance hub in Africa, aligning with the government’s $1 trillion economic ambition.
As Nigeria enters this new era of financial reforms, the 2025 Insurance Reform Act stands as a bold step toward building a stronger, more inclusive economy, one where businesses thrive and consumers are better protected.
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