NIA urges insurers to translate recapitalisation into growth
Nike Popoola
The Chairman of the Nigerian Insurers Association (NIA), Mrs. Ebelechukwu Nwachukwu, has urged insurance companies to translate the industry’s recapitalisation gains into stronger underwriting capacity, improved claims settlement and increased public trust.
Nwachukwu made the call at the BusinessDay Insurance Conference 2026, held on Wednesday, September 23, at the Oriental Hotel, Victoria Island, Lagos, with the theme, “From Capital to Capacity: Driving Growth, Innovation, and Trust in Nigeria’s Insurance Sector.”
She said the recapitalisation exercise had produced an industry with capital in excess of N1.079 trillion, while 50 insurance and reinsurance companies successfully met the new capital requirements.
According to her, the development has created opportunities for insurers to underwrite large and complex risks, expand compulsory insurance coverage, provide long-term capital for infrastructure and capital markets, and drive financial inclusion and digital transformation.
Nwachukwu described the Nigerian Insurance Industry Reform Act (NIIRA) 2025 as the most consequential legislative intervention in the industry in over two decades, saying it had established a modern framework aligned with international best practices.
She commended the National Insurance Commission (NAICOM) for its professionalism, transparency and collaborative approach during the implementation of the recapitalisation process.
However, the NIA chairman cautioned insurers against treating recapitalisation as the end goal, stressing that the real test would be how stronger balance sheets translate into improved services and wider insurance penetration.
“Capital is not the destination. It is the foundation,” she said, adding that the value of recapitalisation would be judged by what it delivers to policyholders rather than what it shows on balance sheets.
She identified sound underwriting, prudent risk management, innovation, improved distribution channels and efficient claims settlement as key priorities for the industry’s next phase of growth.
Nwachukwu also emphasised the importance of public confidence, stating that trust was earned through prompt and fair claims settlement, transparency and improved customer experience.
She said the NIA would support its members through advocacy, regulatory guidance and capacity-building initiatives, while promoting professionalism and market conduct in the industry.
The association, she added, would strengthen expertise in energy insurance, climate-related insurance, agricultural insurance, reinsurance, risk management and governance, alongside investments in digital distribution and products for underserved Nigerians.
Nwachukwu called for stronger collaboration among insurers, reinsurers, brokers, regulators, investors and technology providers to ensure that recapitalisation delivers tangible benefits to policyholders and stakeholders.
