Nigerian Insurance Industry Surges with 47.3% Premium Growth in 2025

Nigeria's insurance sector has demonstrated robust growth, significantly outperforming the national economic output. In 2025, the industry recorded an impressive 47.3% year-on-year increase in Gross Premium Written (GPW), soaring to N2.301 trillion from N1.558 trillion in 2024. This exceptional performance, as detailed in a report by the National Insurance Commission (NAICOM), reflects the success of ongoing regulatory measures aimed at deepening the market. The growth was notably propelled by the Oil & Gas business within the non-life segment and the expanding Annuity funds in the life segment. The insurance industry's expansion far surpassed the national GDP growth of 3.9%, underscoring its increasing importance in Nigeria's financial ecosystem and a growing public confidence in the market. The non-life insurance segment continued its market leadership, accounting for 68.4% of the total premium pool, with Oil & Gas (30.3%), Fire Insurance (20.4%), and Motor Insurance (16.1%) being the leading portfolios. In the life insurance sector, Annuity funds led the contributions (44.3%), followed by Individual Life (36.2%). Concurrently, claims payments saw a significant decline of 21.7%, falling to N724.7 billion in 2025 from N926.1 billion in 2024, indicating improved claims management and strong underwriting capacity among insurers.

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The year 2025 saw an impressive growth in the Nigerian insurance sector, with Gross Premium Written reaching a remarkable N2.301 billion, an exceptional performance reflective of the ongoing regulatory measures aimed at fostering market deepening. This was largely influenced by the Oil & Gas business in the non-life and the growing Annuity funds in the life segments of the market, respectively.