President Bola Ahmed Tinubu has signed the Nigerian Insurance Industry Reform Bill, 2025, a landmark legislation aimed at strengthening the country’s financial sector and advancing Nigeria’s journey toward a $1 trillion economy.
The Act enforces zero tolerance for delays in insurance claims settlements and promotes the digitisation of the insurance market to enhance access and efficiency.
The reforms under the new law are expected to attract fresh investments, boost consumer confidence, and position Nigeria as a leading insurance hub in Africa.
A statement by Mr Bayo Onanuga, presidential spokesperson, announcing the assent stated that the development reaffirms the Tinubu-led administration’s commitment to financial stability, economic development, and inclusive growth.
Onanuga highlighted that 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.
The act also makes provision for the enforcement of compulsory insurance policies to enhance consumer protection and creates dedicated policyholder protection funds, especially in difficult situations.
It further makes provision for expanded participation in regional insurance schemes, including the ECOWAS Brown Card System.
Also Read: NDIC Begins Payment of ₦46.6 Billion Liquidation Dividends to Heritage Bank Depositors
According to the presidential aide, 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.
The Nigerian Insurance Industry Reform Act (NIIRA) 2025 consolidates and replaces several outdated insurance laws, creating a modern, unified legal framework.
The Act establishes comprehensive regulation and oversight for all insurance and reinsurance businesses operating in Nigeria.
Under the 2025 NIIRA, the National Insurance Commission (NAICOM) is tasked with implementing the provisions of the law to unlock the industry’s full potential and significantly boost insurance penetration nationwide.
