Nigeria Insurance Industry Reform Act (NIIRA) 2025: Key Changes and Implications

The Nigeria Insurance Industry Reform Act (NIIRA) 2025, signed into law on 5 August 2025, introduces sweeping changes designed to strengthen the insurance sector, safeguard policyholders, and align Nigerian regulation with international standards. Central to the reforms are higher capital requirements for insurers and reinsurers, stricter rules on what qualifies as capital, and more rigorous asset verification processes. Together, these measures aim to create a more stable, transparent, and trustworthy insurance market.

In the short term, compliance will require careful planning and decisive action, but the long-term benefits are clear: stronger balance sheets, improved policyholder protection, increased market trust, and alignment with global standards.

The Act provides a 12-month transition window for compliance, ending 30 July 2026. By this deadline, all insurers are expected to meet the new capital thresholds and demonstrate the quality of their assets. Firms that fall short may face licence withdrawal, forced consolidation, or other regulatory action. 

Download the full alert to explore the detailed provisions of NIIRA 2025 and what they mean for your business.

Download the NIIRA 2025 Full Alert