Lagos launches building insurance scheme, linking safety to development

Lagos State has introduced the Lagos State Building Insurance Scheme (LAGBIS), mandating compulsory building insurance to safeguard lives and property. Governor Babajide Sanwo-Olu, represented by deputy chief of staff Sam Egube, stated that growth without safety is not progress and development without accountability is unsustainable. The scheme aims to bolster building safety, foster accountability in the construction sector, and solidify Lagos's reputation as a secure and globally competitive city.

“

What we are launching today is not just a scheme; we are strengthening another institution that will deepen confidence in Lagos as a safe, responsible and globally competitive city.

Sanwo-Olu highlighted the state's rapid physical development, driven by investments in residential, commercial, and infrastructure projects. However, he stressed the accompanying responsibility to ensure safety for every new building. Lagos has experienced a significant number of building collapses, with 171 incidents recorded between 2011 and 2025, accounting for over half of the nationwide total. Six collapses in the first half of 2025 alone resulted in 14 fatalities, causing loss of lives, financial hardship, diminished public confidence, and emotional trauma.

“

Growth without safety is not progress, and development without accountability is not sustainable.

The government has reinforced regulatory oversight through the Lagos State Building Control Agency (LASBCA), increasing inspections and enforcement. LASBCA has identified over 27,000 distressed buildings and demolished 349 dangerous structures to prevent collapses. The new LAGBIS will operate on a technology-driven framework to ensure eligible buildings are insured against risks, protecting property owners, occupants, and construction workers. While compulsory building insurance is mandated by law, compliance has been inconsistent, prompting the government to intensify enforcement.

“

The true measure of development is not how much we build, but how well we protect the lives that those structures are meant to serve.

Sanwo-Olu urged licensed insurance companies to partner with the government to ensure the scheme's success, emphasizing that such collaboration will strengthen institutional confidence and promote responsible development across the state. He stated, “Preventing disasters will always cost less than recovering from them,” underscoring the proactive approach of the new insurance scheme.

“

Preventing disasters will always cost less than recovering from them.