… as exercise claims first casualties
Nigeria’s oldest reinsurance company, Nigeria Reinsurance Corporation (Nigeria Re), and NICON Insurance Limited, both owned by billionaire politician Jimoh Ibrahim, have dragged the National Insurance Commission (NAICOM) to court over the industry recapitalisation process.
Both entities were absent from NAICOM’s recently published roster of 43 certified firms that successfully met the new minimum capital benchmarks. They were also excluded from a separate list of eight companies whose capital positions are still undergoing final regulatory verification.
Multiple industry sources told BusinessDay that NAICOM is preparing to appoint liquidators to take over the affairs of both companies, prompting their owner to seek legal injunctions to halt the regulator’s moves. Exactly five years ago, in 2021, Ibrahim faced a similar approach, having to resort to court proceedings after the Asset Management Corporation of Nigeria (AMCON) seized the above-listed firms over an alleged N69.4 billion debt.
This legal battle signals what could become the most significant shake-up in Nigeria’s insurance sector in decades, as the enforcement of the Nigerian Insurance Industry Reform Act (NIIRA) 2025 officially commences.
Meanwhile, the recapitalisation exercise has already claimed its first official casualty. Goldlink Insurance Plc has confirmed the revocation of its operating license by NAICOM. The company, which had battled prolonged governance and management crises before coming under regulatory intervention, disclosed the development in an internal memo titled “Notice of Cancellation of the Licence of Goldlink Insurance Plc,” and signed by Ope Olu, the company secretary.
According to the memo, the company’s operating licence was withdrawn after it failed to meet the prescribed minimum capital requirement applicable to its licence category within the stipulated compliance period.
“The effective date of cancellation is August 3, 2026. The notice of cancellation was delivered through a letter addressed to the Chairman of the Board and hand-delivered by an official of NAICOM’s Legal Department, accompanied by the commission’s appointed Receiver,” the memo stated.
The company further disclosed that the Receiver officially assumed control on August 4 to commence the winding-up process.
“As from today, August 4, 2026, the Receiver has taken over the company to commence the process of winding up as it has effectively ceased to exist as a going concern. NAICOM expects us to cooperate fully with the Receiver in the discharge of his responsibilities,” the memo added.
Read also: Mutual Benefits meets NAICOM recapitalisation, reinforces leadership in insurance industry
Similarly, the fate of Universal Insurance Plc and Staco Insurance Plc remains uncertain as NAICOM concludes a 14-day verification extension granted to eight companies that submitted compliance evidence just before the recapitalisation deadline. Efforts to reach executives at both firms for clarification were unsuccessful.
However, Staco later issued a market update outlining the continuous engagement with the regulator. In a statement signed by Jackson, Etti & Edu, the company secretary, said it has maintained constant communication with NAICOM throughout the recapitalisation exercise and has kept the regulator informed of measures being implemented to achieve compliance.
According to the statement, NAICOM recently provided the company with the Central Bank of Nigeria account details required for its statutory deposit.
The company also disclosed that it has obtained regulatory approval for its 2024 audited financial statements and has submitted them to the Financial Reporting Council of Nigeria (FRCN) for a Letter of No Objection. Upon receiving the clearance, Staco said it will convene its Annual General Meeting, where shareholders will consider and approve the outstanding audited financial statements alongside the proposed funding options designed to strengthen its capital base.
“The board and management remain committed to complying with all applicable regulatory requirements and will continue to engage with NAICOM and other relevant regulators on matters relating to the company’s capital position and other regulatory obligations,” the statement said.
Also missing from the compliant list is African Alliance Insurance Plc, which only regained control from regulatory intervention in mid-June 2026. In a corporate filing signed by Azeezat Ogunsola, the company secretary, it immediately submitted a capital-raising plan to NAICOM upon regaining operational autonomy and is currently awaiting regulatory directives to implement its proposed recapitalisation program.
“The company has submitted its capital raising plan to NAICOM and is currently awaiting further regulatory directives to enable implementation of the proposed recapitalisation,” the statement said.
African Alliance assured shareholders, policyholders and the investing public that it remains committed to meeting all regulatory requirements and will continue to provide updates on material developments.
Announcing the outcome of the 12-month recapitalisation program last weekend, NAICOM confirmed that 43 entities successfully scaled the hurdle under the NIIRA 2025 provisions.
The commission disclosed that eight companies that submitted evidence of compliance shortly before the statutory deadline are still undergoing final verification and regulatory review, a process expected to be concluded within 14 days.
NAICOM said the 12-month recapitalisation programme was undertaken pursuant to Section 15 and other relevant provisions of NIIRA 2025.
List of insurance companies confirmed by the commission as compliant with the Minimum Capital Requirements under NIIRA 2025 are:
Composite Insurers: Leadway Assurance Company Limited, AIICO Insurance Plc, Cornerstone Insurance Plc, AXA Mansard Insurance Plc, LASACO Assurance Plc, Fortis Global Insurance Plc, Industrial and General Insurance Plc, and Great Nigeria Insurance Plc.
Non-Life Insurers: Zenith General Insurance Company Limited, Custodian and Allied Insurance Limited, NEM Insurance Plc, Heirs General Insurance Limited, Fin Insurance Company Limited, Mutual Benefits Assurance Plc, Tangerine General Insurance Ltd, Capital Express Indemnity Insurance Limited, Sanlam-Allianz General Insurance Nigeria Ltd, Consolidated Hallmark Insurance Limited, Sterling Assurance Nigeria Limited, Unitrust Insurance Company Limited, NSIA Insurance Limited, Rex Insurance Limited, Linkage Assurance Plc, Anchor Insurance Company Ltd, Sunu Assurances Nigeria Plc, KBL Insurance Ltd, International Energy Insurance Plc, Veritas Kapital Assurance Plc, NPF Insurance Company Ltd, Coronation Insurance Plc, and Prestige Assurance Plc.
Life Insurers: Custodian Life Assurance Limited, CHI Life Assurance Limited, Heirs Life Assurance Limited, Prudential Zenith Life Insurance Ltd, Stanbic IBTC Insurance Limited, Sanlam-Allianz Life Insurance Nigeria Limited, Capital Express Life Assurance Limited, Mutual Benefits Life Assurance Ltd, Enterprise Life Assurance Company (Nigeria) Ltd, and Coronation Life Assurance Limited.
Reinsurance Companies: Continental Reinsurance Plc and FBS Reinsurance Limited.
Modestus Anaesoronye is a leading Nigerian financial journalist with over two decades of experience reporting on the insurance and pension sectors across Nigeria and West Africa. He has held key editorial positions at major national media outlets, including The Comet, The Nation, and Financial Standard, and currently serves as a Senior Financial Analyst at BusinessDay Media Ltd. A widely travelled reporter, he has covered industry developments in more than 14 countries across Africa and Asia. Anaesoronye is a multiple award-winning journalist, honoured several times as Insurance Journalist of the Year and Pension Journalist of the Year by recognised industry bodies, including PensionScope and the Pension Fund Operators Association of Nigeria (PenOp), among others.
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