No Insurance firm has met recapitalisation requirements – NAICOM

National Insurance Commission said on Monday that no insurance company in the country could be categorised as having met the recapitalisation requirements at the moment.

The commission said this was despite claims of some of the operators that they had met the requirements.

The Director, Policy and Regulation of the Commission, Mr Pius Agboola, made the disclosure at the 2020 Seminar organised by NAICOM for journalists covering the insurance sector held in Kano.

Agboola said while some of the insurance firms might have investments beyond the requirements of NAICOM, it did not mean that such companies had scaled through because it required processes.

“Some companies’ paid-up capital is N5 billion and they may have up to N20 billion in their reserve, but that does not mean that they have met the requirements.

“Even with what they have, they will have to call board meeting, pass board resolution, among other processes, even with NAICOM, ” he said.

According to him, the commission has decided to issue guidelines for the exercise in stages and will soon issue guideline on capital verification.

He said, even if any company claimed to be ready, it must still await NAICOM to issue its guideline on capital verification in line with the recapitalisation plans submitted.


Agboola said there was a high possibility that the commission might not disclose the status of the insurance firms as regards recapitalisation until toward the end of the exercise.