The National Association of Nigerian Students (NANS) has expressed its support for the ongoing recapitalisation of Nigeria's insurance industry, led by the National Insurance Commission (NAICOM). NANS President, Comrade Akinteye Babatunde Afeez, stated that the recapitalisation exercise is a strategic intervention that will strengthen the insurance sector, create employment opportunities, and support Nigeria's economic growth. This move is expected to reposition the industry for greater efficiency, transparency, and global competitiveness.
Afeez commended President Bola Ahmed Tinubu for signing the Nigerian Insurance Industry Reform Act (NIIRA) 2025 into law on July 31, 2025. The legislation provides a legal foundation for transforming the industry, creating opportunities for financial inclusion, entrepreneurship, employment, and career development for Nigerian youths. With over 40.1 million Nigerian students across universities, polytechnics, and colleges of education, NANS recognises the strategic importance of a strong, modern, and resilient insurance sector to national economic development.
The NANS president also commended the Commissioner for Insurance, Mr Olusegun Ayo Omosehin, and the Governing Board of NAICOM, chaired by Hajia Halima Kyari, for their commitment to implementing reforms aimed at restoring public confidence and strengthening consumer protection. Afeez noted that inadequate capitalisation has historically limited the ability of some insurance companies to meet growing market demands and support large-scale economic activities.
Strengthening the capital base of insurance operators will improve their capacity to meet legitimate claims and support investments across different sectors of the economy. The recapitalisation exercise is not merely a regulatory requirement but a strategic intervention designed to strengthen insurers and ensure prompt settlement of legitimate claims. This move is expected to have a positive impact on the economy and the insurance industry as a whole.
However, the students' body expressed concern over attempts by some individuals and groups to discredit NAICOM and frustrate the ongoing reforms. Afeez particularly faulted calls for the removal of the commission's leadership, insisting that the regulatory agency should be allowed to carry out its statutory responsibilities. NANS has independently reviewed publicly available information concerning NAICOM's operations, reforms, and achievements but found no credible basis for the allegations being promoted against the commission.
The association commended NAICOM for its contributions to tertiary education through the Insurance Education Fund and other interventions, including the provision of ICT centres, laboratories, and academic facilities in higher institutions. The commission's emphasis on prompt claims settlement and its zero-tolerance approach to the non-payment of genuine insurance claims were also applauded. The establishment of the Insurance Policyholders Protection Fund (IPPF) under NIIRA 2025 is an important initiative aimed at protecting policyholders, particularly students, youths, and vulnerable consumers.
Afeez urged NAICOM to intensify public awareness campaigns to enable Nigerians to understand the protections available under the new insurance framework. The NANS president pledged that the association would mobilise students to participate in insurance awareness and financial literacy programmes, promote insurance as a career pathway, and support youth-focused initiatives within the industry. A strong insurance sector is a foundation for a strong economy, which is a pathway to reduced poverty, increased opportunities, and a better future for Nigerian youths.
Key points
- NANS supports NAICOM's insurance sector reforms to strengthen the industry and promote economic growth.
- The recapitalisation exercise aims to improve the capital base of insurance operators and ensure prompt settlement of legitimate claims.
- NANS warns against attempts to undermine NAICOM's reforms and pledges to support the development of the insurance industry.
