‘It’ll accelerate $1trn economy’: Tinubu signs insurance reform bill into law

President Bola Ahmed Tinubu has assented to the Nigerian Insurance Industry Reform Bill, 2025.

This is described as a landmark legislation to strengthen Nigeria’s financial sector and accelerate the nation’s march toward a $1 trillion economy.

The Special Adviser to the President on Information and Strategy, Bayo Onanuga, announced the bill signing by Tinubu via a statement on Tuesday, August 5, 2025.

Onanuga stated that the Nigerian Insurance Industry Reform Act (NIIRA) 2025 repeals and consolidates several outdated insurance laws into a single, modern legal framework, adding that the new Act provides for comprehensive regulation and supervision of all insurance and reinsurance businesses operating within Nigeria.

Onanuga said the development reaffirms the Tinubu administration’s commitment to financial stability, economic development, and inclusive growth.

He stated: “The NIIRA Act 2025 ushers in a new era of transparency, innovation, and global competitiveness for the insurance industry. It aligns with the Federal Government’s vision of achieving a $1 trillion economy.

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“As part of the Renewed Hope Agenda for the Insurance Sector, the Act introduces critical measures such as stringent capital requirements to ensure the financial soundness of operators; enforcement of compulsory insurance policies to enhance consumer protection; and digitisation of the insurance market to improve access and efficiency;

Others include zero tolerance for delays in claims settlement; creation of dedicated policyholder protection funds, especially in cases of insolvency; and expanded participation in regional insurance schemes, including the ECOWAS Brown Card System.

According to Onanuga, the National Insurance Commission (NAICOM) is mandated to administer and implement the provisions of the NIIRA 2025 in a manner that unlocks the industry’s full potential and significantly improves insurance penetration across the country.

The reform introduced by the new law is expected to catalyse new investments, boost consumer confidence, and position Nigeria as a leading insurance hub in Africa.

The Star

Segun Ojo

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