Experts at NAIPE Conference call for inclusive pension coverage, deeper insurance penetration in Nigeria
The Nigerian Association of Insurance and Pension Editors NAIPE
Industry stakeholders have reaffirmed that Nigeria’s journey toward sustainable economic transformation depends heavily on the establishment of inclusive, transparent, and efficient insurance and pension systems capable of mobilizing long-term capital for growth.
This formed the core of discussions and resolutions at the 2025 National Conference of the Nigerian Association of Insurance and Pension Editors (NAIPE), held on Tuesday, September 16, 2025, at the Oriental Hotel, Lekki, Lagos, with the theme: “Strengthening Insurance and Pension Framework for Better Economy.”
The conference brought together key regulators, operators, policymakers, and media professionals from across the insurance and pension industries to deliberate on ways to reposition both sectors for enhanced contribution to Nigeria’s economic development.
In a communiqué issued at the end of the conference, participants emphasized that a robust and well-reformed framework in the pension and insurance sectors is essential not only for protecting lives and livelihoods but also for mobilizing domestic capital and fostering economic stability.
They highlighted the effective implementation of the Pension Reform Act (PRA) 2014 and the Nigeria Insurance Industry Reform Agenda (NIIRA) 2025 as critical levers that, if well-executed, could unlock the immense potential within the two sectors and help realize Nigeria’s ambition of building a $1 trillion economy.
Stakeholders stressed the need for strong political will, enhanced regulatory capacity, and collaboration among operators, regulators, and the public to sustain ongoing reforms. While acknowledging progress made so far, they noted that more must be done to consolidate these gains through structural and policy strengthening.
The communiqué also identified emerging challenges facing both sectors, including the integration of Environmental, Social, and Governance (ESG) principles, rising cybersecurity threats, and the adoption of artificial intelligence (AI) in operations. Participants urged proactive responses to ensure resilience and adaptability in the face of global and domestic disruptions.
One of the conference’s major resolutions was the urgent need to expand pension coverage, particularly through the Micro Pension Plan (MPP), to cater to Nigeria’s informal sector, which accounts for over 90 percent of the country’s employed population.
Of the estimated 84.15 million employed Nigerians as of 2023, only about 6.14 million (7.3%) are in the formal sector and covered by traditional pension schemes. To bridge this gap, stakeholders called for flexible, inclusive pension products that reflect the income patterns of informal workers and leverage mobile money platforms, agent networks, and financial literacy programs for wider participation.
The National Pension Commission (PenCom) disclosed plans to redesign the Micro Pension Plan and introduce “Super Agents” to facilitate contributor onboarding for Pension Fund Administrators (PFAs). There were also recommendations to license Micro Pension Fund Administrators with lower capital requirements to effectively serve informal sector workers in rural and underserved areas.
In the insurance industry, participants described the NIIRA 2025 as a transformative policy with the potential to reshape the sector by driving innovation, consumer protection, and alignment with international best practices suited to Nigeria’s unique market realities.
However, the conference raised concerns over persistently low insurance penetration and the underwhelming participation in the Contributory Pension Scheme (CPS) and Micro Pension Plans compared to other African nations. Operators and PFAs were urged to reformulate their business models and product offerings to better meet public needs and encourage participation.
Concluding the conference, stakeholders called for renewed collaboration among regulators, operators, and the media to promote insurance and pension literacy, deepen sectoral coverage, and sustain policy innovation.
Both PenCom and the National Insurance Commission (NAICOM) reaffirmed their commitment to partnering with NAIPE and other stakeholders to strengthen financial inclusion and enhance the contribution of insurance and pension sectors to Nigeria’s long-term economic development.
Additionally, participants encouraged greater investment of pension funds in agriculture as a means of supporting food security, job creation, and economic resilience.
