By Rosemary Iwunze
As the insurance recapitalisation deadline of July 31st 2026 draws near, the National Insurance Commission, NAICOM, has stated that it will not re-license any company with outstanding claims.
In a letter to all Managing Director/CEOs of insurance companies, issued yesterday, titled: “Regulatory Directive – Settlement of Discharged Claims as A Precondition for Re-Licensing Pursuant to the Ongoing Recapitalization Exercise” NAICOM noted that the move is part of efforts to ensure that the exercise achieves its intended objectives.
The letter stated: “The ongoing recapitalization exercise is aimed at strengthening the financial capacity, resilience, and overall stability of the insurance sector. As part of efforts to ensure that this exercise achieves its intended objectives and enhances public confidence in the insurance market, all insurance companies are hereby directed to fully settle all outstanding duly discharged claims. Please note that this is a mandatory pre condition for being certified as having fulfilled the statutory recapitalization requirement and the Commission’s regulatory clearance.
“Accordingly, all insurance companies are required to Identify, reconcile all discharged claims currently outstanding in their records and thereafter, ensure full settlement of these claims to beneficiaries without further delay. A report of the reconciled discharged claims signed by the Managing Director/CEO and evidence of settlement of these claims shall be submitted to the Commission on or before 21th of July 2026.
“Please note that compliance with this directive is a critical regulatory criterion for eligibility, confirmation, and re licensing of all insurance/reinsurance companies after the conclusion of the ongoing recapitalization exercise. All insurance/reinsurance companies are required to ensure strict compliance with the content of this regulatory directive.”
