Insurance reform seen ending legacy bottlenecks, drive compliance, policyholder trust

Leading industry thought leaders have charted a growth path for the insurance sector, seeing the Insurance Industry Reform Act (NIRRA) 2025 bringing to end legacy bottlenecks, improving compliance and driving policyholder trust.

The stakeholders who spoke at the Insurance Meets Tech (IMT) 4.0 Conference held Lagos with the theme: “Innovating for the New Trybe” highlighted the role of technology in transforming the Nigerian insurance sector.

Discussions at the conference also centred, among other things, on how to bridge traditional insurance structures with emerging, technology-driven solutions, emphasising digital adoption, innovation, and client-centred experiences.

Olusegun Omosehin, commissioner for Insurance who was represented at the event by Ekerete Ola Gam-Ikon, deputy commissioner for Insurance (Finance & Administration) stated that the NIIRA 2025, signed into law in July 2025 by President Bola Tinubu, will foster economic growth by transforming the sector through increased capital, stronger policyholder protection digitalisation, microinsurance promotion, and alignment with global best practices.

“The Act is a warm piece of legislation that provides the blueprint to reset the industry”, he said. “This Act bridges the gap between what family and friends traditionally provide and what insurance should guarantee. Nigerians can now be confident that when something goes wrong, insurance will deliver,” he explained.

Omosehin highlighted that NIIRA’s recapitalisation will increase insurers’ capacity to handle risks and retain local businesses, contributing to the nation’s vision of a one trillion dollar economy.

Kunle Ahmed, chairman, Nigerian Insurers Association (NIA), who is also the MD/CEO of AXA Mansard Insurance Plc, said, “NIIRA 2025 represents a bold step toward strengthening the regulatory framework, enhancing public trust, improving market penetration, and modernising operations within the industry. It reflects the Federal Government’s commitment to deepening financial inclusion and ensuring that insurance becomes a robust pillar in Nigeria’s economic framework.

“This is not just a legislative victory; it is a shared mission. NIA stands ready to champion a more resilient and customer-centric insurance sector that contributes meaningfully to national development.”

In her contribution to the discourse on NIIRA 2025, Yetunde Ilori, president of the Chartered Insurance Institute of Nigeria (CIIN), said, “The insurance industry is set for unprecedented transformation following the signing of the Act.

“It introduced 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, and expanded participation in regional insurance schemes, including the ECOWAS Brown Card System.

Babatunde Oguntade, president of the Nigerian Council of Registered Insurance Brokers, who was represented at the conference by Peter Offiong, assistant general manager at Scib Nigeria & Co. Ltd, while stressing the need for immediate implementation of the Act, highlighted NIIRA’s provisions on compulsory insurance, emphasising that digital platforms and collaboration with state agencies will support enforcement.

Tunde Mimiko, managing director, SanlamAllianz Life Insurance, whose organisation was IMT 4.0’s Official Insurer, stressed the need for the industry to build systems that move beyond legacy bottlenecks, strengthen compliance, and foster greater trust with policyholders. He emphasised that such developments are crucial for safeguarding customers and positioning insurance as a key driver of financial security and sustainable growth in Nigeria.

Stephen Alangbo, managing director, Cornerstone Insurance Plc, , emphasised the company’s role as an Innovation Partner, focusing on digital transformation, customer-centric solutions, and the use of Insurtech to shape the future of inclusive coverage in Africa.

He highlighted Cornerstone’s commitment to leveraging technology and developing innovative products to meet dynamic market needs, as outlined in their strategy for leading the African insurance industry.

The event also featured global thought leadership and the conference’s Headline Speaker, Per Lagerström, a former McKinsey partner and the CEO of Yellowspot. He challenged Nigerian insurers to rethink their models, emphasising the human element in innovation. “Insurance is not built on products alone; it is built on behaviour. If we do not understand how people earn, live, and dream, we cannot design solutions they will embrace. Technology gives us the tools, but human insight gives us the answers.”

In his opening remarks, Odion Aleobua, convener of the IMT Conference CEO, Modion Communications, called on insurance innovators to build distribution that meets people where they are: online, on mobile, at work, and in communities, while conforming to evolving lifestyles. He called on regulators to adopt regulations that protect consumers without stifling industry innovation.