To undertake an independent verification of the capital position of all insurance and reinsurance companies in Nigeria, the National Insurance Commission (NAICOM) has engaged the services of four global audit firms.
The engagement of the big four audit firms – EY, PwC, KPMG and Deloitte, NAICOM said was a critical step towards safeguarding the credibility and transparency of the industry’s ongoing recapitalisation exercise.
The Commissioner, NAICOM, Olusegun Omosehin, revealed the appointment of the four companies during the EY Insurance Summit held in Lagos at the weekend.
Omosehin, who was represented at the occasion by the Deputy Commissioner for Insurance (Finance and Admin), Usman Jankara, said the firms were selected to leverage their unrivalled expertise, capacity and reputation
He informed that the four auditors collectively controlled more than 99 per cent of the audit market shares among Nigeria’s top listed companies.
The move, Omosehin added, ensures that any operator certified as having met the new Minimum Capital Requirement (MCR) has done so transparently and credibly.
Omosehin said the summit reflected renewed collaboration aimed at strengthening the industry at a critical time.
“Today’s dialogue is a commendable development as this will foster renewed engagement and collaboration for the growth of the Nigerian insurance industry as well as contribute to the resilience and competitiveness of the Nigerian economy,” he said.
He further described the Nigeria Insurance Industry Reform Act (NIIRA) 2025 as “a landmark legislation designed to strengthen financial soundness, enhance policyholder protection and align the industry with global best practices,” insisting that insurance must shift from its marginal contribution to becoming a central pillar of economic stability as Nigeria works toward a $1 trillion economy by 2030.
The commission listed progress recorded since the Act came into force, including the issuance of critical guidelines such as the new Minimum Capital Requirement framework.
It further confirmed that all insurers and reinsurers submitted their recapitalisation plans by the September 30 deadline, while a dedicated Recapitalisation Committee now monitors monthly compliance.
Reaffirming its partnership with the appointed companies on capital verification, Omosehin likened the process to “a scanner at airports,” insisting that all operators must pass through a thorough and uniform assessment to validate compliance.
The regulator revealed that additional guidelines were also underway covering product development, suitability standards, claims management, Takafull, microinsurance, and cross-border reinsurance placements.
Exposure drafts on registration and renewal procedures have also been released for industry comments, he said.
Despite macroeconomic headwinds, restructuring complexities and technical capacity gaps, NAICOM noted that operators had responded positively, with many at advanced stages of capital validation.
It said several boards had approved mergers, reorganisations and fresh capital plans to meet the new requirements.
Beyond recapitalisation, the commission outlined broader strategic priorities, including digital transformation, Environmental, Social and Governance (ESG) integration, data-driven supervision, and exploiting the African Continental Free Trade Area (AfCFTA) opportunities to boost continental competitiveness.
