President Tinubu has signed landmark Nigerian Insurance Industry Reform Act 2025 into law.
NaijaOnPoint Nigeria reports that President Bola Ahmed Tinubu has signed the Nigerian Insurance Industry Reform Act (NIIRA) 2025 into law, marking a major milestone in the federal government’s efforts to strengthen the financial sector and move Nigeria closer to a $1 trillion economy.
The announcement was made in a statement released on Tuesday by Bayo Onanuga, Special Adviser to the President on Information and Strategy.
The newly signed NIIRA 2025 repeals and consolidates all previous insurance-related laws into a unified legal framework, aimed at modernising regulation, enhancing supervision, and expanding consumer protection in the insurance and reinsurance sectors.
A Bold Step Toward Economic Transformation
According to the statement, the Act reflects the Tinubu administration’s Renewed Hope Agenda and commitment to financial stability, inclusive growth, and sustainable economic development.
“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 statement said.
Key Reforms Introduced by the Act
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Stringent capital requirements to ensure the financial stability of insurance operators.
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Enforcement of compulsory insurance policies to boost compliance and consumer protection.
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Digitisation of the insurance market for better access, transparency, and operational efficiency.
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Zero tolerance for delays in claims settlement.
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Creation of policyholder protection funds, particularly in cases of insolvency.
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Expanded participation in regional insurance schemes, including the ECOWAS Brown Card System.
Role of NAICOM
The National Insurance Commission (NAICOM) is empowered under the new law to implement and enforce the Act’s provisions in a way that deepens insurance penetration and enhances investor confidence in the sector.
Experts say the reform could attract significant local and foreign investment, raise consumer trust, and position Nigeria as a regional insurance hub in sub-Saharan Africa.