President Bola Tinubu has assented to the Nigerian Insurance Industry Reform Bill, 2025.
Bayo Onanuga, presidential spokesman, said in a statement that the bill, a landmark legislation to strengthen Nigeria’s financial sector, is aimed at accelerating the nation’s march towards a $1 trillion economy.
The Nigerian Insurance Industry Reform Act (NIIRA) 2025 repeals and consolidates several outdated insurance laws into a single, modern legal framework.
The new Act provides for comprehensive regulation and supervision of all insurance and reinsurance businesses operating within Nigeria.
The statement noted that the “development reaffirms the administration’s commitment to financial stability, economic development, and inclusive growth.”
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,” he said.
It also ensures the enforcement of compulsory insurance policies to enhance consumer protection.
The new law will also promote the digitisation of the insurance market to improve access and efficiency.
Other features include “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.”
The National Insurance Commission (NAICOM) is mandated to administer and implement the provisions of the NIIRA 2025 in a manner that unlocks the industry’s full potential and significantly improves insurance penetration across the country.
