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🇳🇬 Nigeria /Economy & Trade

NAICOM Unveils Plan to Lift Insurance Penetration to 10% of GDP by 2031

From ThisDay · () English

Translated from English and summarized by DistantNews. Read the original for the full story.

At a glance

News Named sources New plan
  • Nigeria’s insurance regulator launched a 36-to-60-month programme that seeks to increase insurance penetration from 0.5% of GDP to 10% by 2031.
  • The plan targets 25 million Nigerians, 6,000 professionals and 250,000 MSMEs while addressing awareness, trust, distribution and capacity gaps.
  • NAICOM chief Olusegun Ayo Omosehin called for stronger underwriting, governance, digitalisation and prompt settlement of genuine claims.

Nigeria’s insurance industry is setting itself a target that would radically expand its reach: raising penetration from 0.5% of gross domestic product to 10% by 2031. The National Insurance Commission unveiled the goal through its Insurance Sector Strengthening Programme, a 36-to-60-month initiative developed with industry stakeholders.

The blueprint aims to bring 25 million Nigerians into the insurance market, develop 6,000 professionals and reach 250,000 micro, small and medium-sized enterprises. It focuses on problems that have kept coverage low, including limited public understanding, weak consumer confidence, fragmented distribution and inadequate industry capacity. Women, young people and MSMEs are among the groups identified as having limited access.

The programme rests on six pillars: advocacy and policy, awareness and education, capacity building, gender inclusion, youth engagement, and MSME and value-chain development. NAICOM Commissioner for Insurance Olusegun Ayo Omosehin said reform must now produce measurable gains in coverage and confidence, rather than remain at the level of policy intentions.

Omosehin also warned that expansion cannot come at the expense of policyholder protection or market stability. “Regulation must serve as both a shield for policyholders and a compass for responsible market development,” he said. He urged insurers to improve underwriting, governance and claims administration, supported by adequate capital, transparent operations and prompt payment of valid claims.

Digital tools will form another part of the expansion effort. Omosehin said digital platforms, insurtech solutions and data-driven approaches could help the industry respond to consumers seeking greater convenience, transparency and personalised financial services. Leadway Assurance said the programme could deepen insurance penetration while strengthening confidence and trust.

Regulation must serve as both a shield for policyholders and a compass for responsible market development.

· Olusegun Ayo OmosehinThe NAICOM commissioner described the regulatory balance required as the insurance sector expands.
About this summary

Originally published by ThisDay in English. Translated, summarized, and contextualized automatically by DistantNews, with a note on how the source frames the story. Not individually reviewed before publishing. How this works.

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