Twenty insurance companies have so far signalled their readiness for capital verification as part of the ongoing recapitalisation exercise aimed at strengthening the financial capital and resilience of operators in the Nigeria insurance industry.

‎This, the National Insurance Commission (NAICOM) revealed that the 20 firms had written to the commission at a briefing held yesterday in Lagos.

‎ Speaking on the development, the Commissioner for Insurance, Olusegun Omosehin, said the response from the industry had been encouraging.

‎Omosehin noted, capital verification remains a critical pillar of the ongoing recapitalisation exercise aimed at strengthening the sector.

‎Industry data suggest that Nigeria currently has about 67 licensed insurance operators, comprising non-life insurers, life insurers and five reinsurers.

‎The readiness of only 20 firms underscores the widening gap between early movers and laggards as the July 30 compliance deadline draws closer.

‎Capital verification, NAICOM officials insisted, is not a routine regulatory exercise.

‎Omosehin said the commission had put in place a robust verification framework to ensure transparency and credibility.

‎As part of this process, NAICOM is partnered with global audit firms, including EY and other members of the Big Four, to independently confirm compliance with the new minimum capital thresholds.

‎Under the revised framework introduced in August 2025, non-life insurers were raised from N2 billion to N10 billion and reinsurers from N10 billion to N35 billion.

‎An insurance sector analyst said the readiness of the 18 firms sends a strong signal to the market.

‎ “Capital verification is effectively separating well-capitalised operators from those that have relied on thin buffers. Investors will naturally gravitate towards companies that complete the process early because it reduces balance-sheet risk and improves long-term earnings visibility,” he said.

‎Industry operators also see the development as the beginning of an inevitable consolidation wave. (The Guardian)