My dear Brother,
Thanks for sharing.
My simple response is that the person is not updated about the insurance regulation going on now as compared to the past he gleefully describes. Yes, he is right about the past.
A few points need to be clarified that would help him or anyone that is like him…
- Importantly, the current leadership at NAICOM are not “tired professionals”, but the best from the three angles – operations, customer advocacy and regulation. This is the first time all three Commissioners are appointed same time by the President and also the first time you have a tested and experienced CEO coming directly from the private sector to lead the Commission. Ask about them from the industry and indeed the financial sector.
- The reference to copying CBN to increase capital of insurance companies is unfortunately the Nigerian mindset and a reflection of the misunderstanding of the role capital plays in modern insurance underwriting. The Minimum Capital Requirements (MCR) is still grossly inadequate considering the devaluation of the Naira. Risk-based Capital will ensure insurers write policies their capital can cover. The insurance industry last increased Capital Base in 2007, and allowed insurers to add humongous buildings that did not translate to cash for payment of claims to policyholders and thereby heightening the mistrust of the public. The effort at increasing the capital requirements has been on since 2015 but was unsuccessful. Even the Finance Act 2021 tried to address it. This administration came in and worked on a private member bill from the Senate to deliver NIIRA 2025, which was the primary action that past governments needed to take but failed.
- If the gentleman and his team has sat down to read NIIRA and the Guidelines that have been released subsequently, they will appreciate the difference in the tone of the law. It is growth-oriented and NAICOM’s priority today is to create the environment for insurance to thrive. For example, working with the Aviation Minister to ensure the insurance of aircraft in line with best practices was highly commended by all stakeholders; and recently using the law a stop was put to flight of capital in the name of international health insurance. The providers are holding meetings on how they’ll comply.
- In the last four months the Commission has received serious institutional investors from within and outside the country that seek to invest in the insurance industry because they have seen the opportunities that old and existing investors cannot see.
- Furthermore, the regulatory intervention and disciplinary measures taken against erring investors and managers of financially weak insurers have been commended and the leadership remains committed to ensuring that companies that have been notorious for non-payment of claims receive all the support to survive IF the owners are interested in
- On the recognition and involvement of actuaries in the insurance industry, this administration has taken the unprecedented step of appointing a consulting actuary for the Commission
- Lastly, what the leadership of the Commission did with the Government of Abia State last week is unprecedented, and the beginning of a new drive at taking insurance to households.
- If the remarkable effort by this administration to release Guidelines on Insurtech, the first in Sub-Sahara Africa, and set the path for greater insurance access means the regulator is blind, then I do not know what the person’s eyes are doing for him or them.
As you would notice, the current leadership at NAICOM are not people known to be sensational. They are committed and determined to leave a significant legacy behind while recognizing that there is still more work to do given the erosion of public trust over the years.
Constructive and informed criticisms and recommendations are welcome always.
Thanks and regards,
Ekerete Ola Gam-Ikon
Deputy Commissioner for Insurance
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Last modified: June 7, 2026
