Ebelechukwu Nwachukwu, chairman of the Nigerian Insurers Association (NIA), says over 70 per cent of insurance companies have completed the verification exercise ahead of the July 31st recapitalisation deadline.

Ms Nwachukwu, who disclosed this in an interview on Monday in Abuja, also said that the insurance industry’s recapitalisation exercise had entered its final phase.

She said the exercise was introduced by the National Insurance Commission (NAICOM) to strengthen the financial capacity of insurance companies.

She added that the exercise followed a structured implementation framework that clearly outlined capital requirements and compliance expectations.

According to her, since December 2025, insurance companies have continued to submit monthly updates on their capital positions to NAICOM.

”The submission reflects changes arising from business activities, claims settlements, and asset acquisitions or disposals,” she said.

She explained that the periodic reporting was designed to enable the regulator to monitor companies’ progress throughout the recapitalisation process.

“As part of the exercise, insurers made statutory deposits with the Central Bank of Nigeria (CBN), representing 10 per cent of the minimum capital requirement.

“The majority of member companies have fulfilled this obligation and submitted evidence of payment to the regulator.

“Another critical stage of the recapitalisation programme involved an independent verification of companies’ capital positions.

“The regulator appointed auditors from the big four audit firms: KPMG, PwC, Deloitte and EY to conduct the verification exercise.

“We have all paid for these processes, and my company has been verified. More than 70 per cent of the companies have completed the verification exercise,” she said.

Ms Nwachukwu assured that the recapitalisation process had progressed smoothly, adding that NAICOM was expected to announce the outcome after the deadline.

On the possibility of further consolidation within the sector, she noted that the regulator had been engaging companies facing capital challenges to ensure an orderly transition that safeguards policyholders’ interests.

She added that the recapitalisation exercise was expected to produce a stronger, better-capitalised insurance industry with improved capacity and enhance public confidence in the sector.

She also said that the process was expected to encourage strategic mergers and acquisitions where necessary, with a view to ensuring the long-term stability of the industry.

NAICOM had announced that the July 31 recapitalisation deadline for the Nigerian insurance industry was final, with no extension granted.

The Commissioner for Insurance at NAICOM, Olusegun Omosehin, emphasised that the exercise remained central to building a resilient market.

He said operators must meet the new minimum capital requirements or face regulatory actions.

(NAN)