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Tinubu Signs Nigerian Insurance Industry Reform Bill Into Law

President Bola Ahmed Tinubu has signed the Nigerian Insurance Industry Reform Act (NIIRA) 2025 into law.

This was disclosed on Tuesday in a statement signed by the President’s Special Adviser on Information and Strategy, Bayo Onanuga.

The NIIRA 2025 repeals and consolidates several outdated insurance laws into a single, modern legal framework. It provides comprehensive regulation and supervision of all insurance and reinsurance businesses operating within Nigeria.

This development underscores the administration’s commitment to financial stability, economic development, and inclusive growth.

The statement noted:

“The NIIRA Act 2025 ushers in a new era of transparency, innovation, and global competitiveness for the insurance industry. It aligns with the Federal Government’s vision of achieving a $1 trillion economy.”

As part of the Renewed Hope Agenda for the Insurance Sector, the Act introduces critical measures such as:

Stringent capital requirements to ensure the financial soundness of operators;

Enforcement of compulsory insurance policies to enhance consumer protection;

Digitisation of the insurance market to improve access and efficiency;

Zero tolerance for delays in claims settlement;

Creation of dedicated policyholder protection funds, especially in cases of insolvency;

Expanded participation in regional insurance schemes, including the ECOWAS Brown Card System.

The National Insurance Commission (NAICOM) is mandated to administer and implement the provisions of the Act in a way that unlocks the industry’s full potential and significantly improves insurance penetration nationwide.

The reforms are expected to catalyse new investments, boost consumer confidence, and position Nigeria as a leading insurance hub in Africa.

By Haruna Yakubu Haruna