AIICO retains composite licence without capital injection, reports strong performance Q2

AIICO Insurance Plc has received a new operational licence from the National Insurance Commission (NAICOM), confirming its full compliance with the recapitalisation requirements introduced under the Nigerian Insurance Industry Reform Act (NIIRA) 2025. The development comes as the company continues to post strong financial results, reinforcing its position as one of the industry’s most resilient and well-capitalised players.

NAICOM confirmed the successful conclusion of the 12-month recapitalisation exercise across the insurance sector, listing AIICO among a select group of insurers that met the new minimum capital threshold, retaining its status as a fully compliant composite insurer across both life and general business lines.

Notably, the company did not require additional capital raising to meet the new regulatory benchmark, having maintained a capital base above the revised minimum even prior to the exercise. This positions AIICO among a limited number of operators entering the new regulatory era from a position of inherent financial strength.

The licensing milestone coincides with a strong financial performance in the second quarter of 2026, further signalling sustained growth and operational stability. With a gross written premium of N104bn, insurance revenue rose to N74.9 billion, representing a 14.5 percent increase from N65.4 billion recorded in Q2 2025.

Profit after tax grew by 18.9 percent to N13.4 billion, up from N11.3 billion in the corresponding period of the prior year. Total assets also expanded significantly to N661 billion, marking a 13.2 percent increase from N584 billion reported at full-year 2025.

The performance reflects consistent execution across key business lines, improved underwriting capacity, and sustained customer confidence, which continues to drive top line growth and profitability.

Industry analysts note that the combination of regulatory compliance without dilution and strong earnings growth positions the company favourably in a more capital-intensive operating environment, where scale, solvency, and governance are expected to differentiate market leaders.

Commenting on the development, Tunde Fajemirokun, managing director of AIICO Insurance Plc stated:

“This milestone reflects our unwavering commitment to regulatory compliance, financial strength, sound corporate governance, and the long-term sustainability of our business. More importantly, it reinforces our capacity to underwrite risks of greater scale, honour claims and obligations promptly, and continue protecting what matters most to our customers with confidence.”

The company also acknowledged the role of customer loyalty in sustaining its growth trajectory, noting that continued trust and engagement have been central to its performance in an increasingly competitive market.

With a strengthened capital position, improving earnings profile, and regulatory endorsement, AIICO appears well positioned to deepen its market presence and pursue new growth opportunities within Nigeria’s evolving insurance landscape.

AIICO Insurance is a leading composite insurer in Nigeria, with a 63-year record of accomplishment in delivering quality service to its clients. Founded in 1963, AIICO provides life and general insurance, health insurance, and investment management services to create and protect wealth for individuals, families, and corporate customers.