NIIRA 2025: NAICOM strengthens data rules, claims timelines, others
National Insurance Commission NAICOM
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The Nigerian insurance industry is set for a new era of innovation, transparency, and stronger consumer protection following the introduction of the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
The Commissioner for Insurance, Mr. Olusegun Omosehin, disclosed this while addressing journalists at a retreat held in Abeokuta. He explained that the Act introduced key statutory provisions aimed at modernising the sector and improving outcomes for policyholders.
According to him, the NIIRA 2025 establishes an Innovation Hub/Sandbox Framework, providing a formal structure for testing and refining new insurance products and services in a controlled environment. This, he said, would allow firms to be creative while ensuring policyholders remain protected.
The Act also strengthens data obligations, requiring insurers to provide timely and accurate information to the National Insurance Commission (NAICOM). Omosehin noted that this would enable data-driven regulatory decisions and improve oversight across the sector.
Beyond innovation, the Commissioner emphasised that the Act places strong focus on consumer protection. Among the reforms are: Robust rules for fair market practices, ensuring transparency, fairness, and accountability in the sale and administration of insurance products; Clear claims timelines, which define how quickly claims must be processed and settled to promote efficiency and enhance policyholder satisfaction; Firm consequences for non-compliance, with meaningful penalties for companies that fail to meet regulatory standards; and a strengthened Policyholders’ Protection Fund, designed to safeguard consumers in the event of insurer insolvency.
“These reforms are designed to protect policyholders’ interests, promote trust, and elevate the overall quality of insurance services in Nigeria,” Omosehin said.
With these measures, the NIIRA 2025 is expected to drive innovation in product design, improve regulatory compliance, and build greater confidence in the Nigerian insurance industry, he noted.
