By TAIYE OLAYEMI

The National Insurance Commission (NAICOM) has issued new guidelines for the collection, management and administration of the Insurance Policyholders’ Protection Fund (IPPF), to strengthen protection for policyholders in the country.

In a circular dated April 7, 2026, and addressed to all insurance institutions, the commission said the directive was in exercise of its powers under the Nigerian Insurance Industry Reform Act 2025 and other extant laws.

The circular was signed by Mr John Falade, Deputy Director, Special Risk and Security Analysis, NAICOM, on behalf of the Commissioner for Insurance.

NAICOM stated that the guidelines provide a comprehensive regulatory framework to ensure clarity, enhance compliance and streamline the administration of the fund across the insurance sector.

According to the commission, the fund serves as a statutory safety net designed to protect policyholders in the event of distress or insolvency of a licensed insurer or reinsurer.

It added that the guidelines also include provisions for the reimbursement of loans by insurers and reinsurers under the scheme.

The commission directed that IPPF assessment returns for the 2025 financial year must be submitted on or before May 31.

It noted that subsequent submissions would be made in line with Section 4.3 of the guideline on the Insurance Policyholders’ Protection Fund.

NAICOM urged all insurers, reinsurers and other relevant institutions to ensure strict compliance with the new guidelines. (NAN)