General News
Insurance Recapitalisation: NICON, Nigeria Re Accuse NAICOM of Procedural Breaches
The National Insurance Corporation of Nigeria (NICON) and Nigeria Reinsurance Corporation (Nigeria Re), on Thursday, tackled the National Insurance Commission (NAICOM) over alleged breaches of procedures in the implementation of the ongoing insurance industry recapitalisation exercise.
The two insurance firms, in separate statements issued by their managements, accused NAICOM of attempting to divert public attention from substantive issues raised against it, which they said were evaded in its rejoinder dated September 10, 2026.
“Rather than answer the specific allegations contained in the Petition before the EFCC, NAICOM has remained conspicuously silent on the critical questions of law, accountability, and the handling of shareholders’ funds.
“We expect answers—not diversion,” they said.
According to the managements of the aggrieved companies, their petition against NAICOM to the EFCC over the implementation of the recapitalisation process is principally premised on four issues: the demand for one per cent of shareholders’ funds, unlawful remittance of one per cent to the Treasury Single Account (TSA), demand for 100 per cent recapitalisation funds, and N180 million collected without any verification exercise by consultants.
“NAICOM obtained several millions of naira from insurance companies under the pretext of engaging consultants.
“For instance, NAICOM demanded and received a total sum of N180 million from NICON Insurance Ltd and Nigeria Reinsurance Corporation, without sending any consultants for the verification exercise but instead sent their staff members,” they alleged.
The companies further alleged that, contrary to the requirement for the remittance of one per cent to the TSA, monies collected by NAICOM were not remitted to the TSA but were instead paid into NAICOM’s account.
The companies also questioned the regulatory authority’s role in determining the legality of its own disputed demands.
“NAICOM cannot simultaneously be the regulator, the collector of disputed funds and the final judge of the legality of its own demands,” they stated.
NICON and Nigeria Re further insisted that both companies had fully complied with the recapitalisation requirements under NIIRA 2025.
“For the avoidance of doubt, NICON Insurance Limited and Nigerian Reinsurance Corporation are fully recapitalised in accordance with NIIRA 2025,” they said.
The companies said they would continue to defend the interests of their companies, shareholders and policyholders through what they described as appropriate legal and constitutional channels.
They also rejected any suggestion that NAICOM’s regulatory status placed it above the law.
“NAICOM is a regulator, not the law. It is itself subject to the law,” they stressed.