Five insurers intensify push to meet NAICOM capital rules

Five insurance companies in Nigeria are intensifying their efforts to comply with the National Insurance Commission's (NAICOM) updated minimum capital requirements, outlined in the Nigerian Insurance Industry Reform Act 2025. These updates come as NAICOM reports that 43 insurers have already met the new thresholds, with a few still undergoing verification or implementing their capital-raising strategies.

Staco Insurance Plc has kept NAICOM informed about its recapitalization measures and recently received approval for its 2024 audited financial statements. The company is awaiting a 'no objection' letter from the Financial Reporting Council of Nigeria before convening its Annual General Meeting to consider funding options. Staco has also obtained the necessary Central Bank of Nigeria account details for statutory capital deposits.

African Alliance Insurance Plc has submitted its capital-raising plan to NAICOM and is awaiting regulatory directives. The insurer noted that it only regained shareholder control on June 16, 2026, and its board has been actively engaging with NAICOM on recapitalization.

Regency Alliance Insurance Plc announced the completion of both its rights issue and private placement in July, raising approximately N6.04 billion. Combined with existing assets, this capital infusion reportedly places the company above the N15 billion minimum requirement for non-life insurers, pending NAICOM's verification.

Similarly, Guinea Insurance Plc has concluded its rights issue and private placement, raising about N12.6 billion. This new capital, added to its existing paid-up capital, is expected to exceed the minimum requirement for general insurers, subject to final verification by NAICOM. Sovereign Trust Insurance Plc stated it met the NAICOM recapitalization deadline as of July 31 and is awaiting final verification.