NAICOM launches programme to boost insurance penetration, trust

By Onu Okorie

National Insurance Commission NAICOM has launched the Insurance Sector Strengthening Programme ISSP, a comprehensive initiative aimed at increasing insurance penetration, promoting innovation and inclusion, strengthening industry capacity and rebuilding public trust in Nigeria’s insurance sector.
Speaking at the launch in Abuja, the Commissioner for Insurance, Olusegun Ayo Omosehin, described the programme as a landmark intervention designed to accelerate the growth of the industry and position insurance as a stronger contributor to national development.
Omosehin said Nigeria’s large and expanding economy offered significant opportunities for the insurance industry, but noted that penetration remained far below its potential.
He said a large number of Nigerians remained uninsured or underinsured, while low public awareness, trust concerns, capacity deficiencies and ineffective distribution channels continued to constrain the development of the sector.
According to him, the ISSP is built around six key pillars: Advocacy and Policy; Awareness and Education; Capacity Building; Gender Inclusion; Youth Engagement; and Micro, Small and Medium Enterprises (MSME) and Value Chain Development.
He said the framework would provide a strategic direction for improving the sustainability, competitiveness and inclusiveness of the Nigerian insurance industry.
The Commissioner stressed the need to improve public understanding of insurance, noting that consumer awareness and confidence were critical to increasing insurance uptake.
He said NAICOM would use targeted awareness campaigns and educational initiatives under the programme to strengthen the insurance culture and improve financial literacy among Nigerians.
Omosehin also identified capacity development as a key priority, saying training and professional development initiatives would enhance technical expertise, professionalism and service delivery across the insurance value chain.
He said the programme’s focus on women and young people was particularly important, describing both groups as critical drivers of economic growth whose greater participation could help expand insurance access and deepen market penetration.
The Commissioner also highlighted the need to extend insurance coverage to MSMEs, which he described as major contributors to employment, innovation and economic productivity.
According to him, greater insurance coverage would enable MSMEs to better manage risks, strengthen business resilience and support sustainable economic growth.
The ISSP is aligned with the Nigeria Insurance Industry Reform Agenda (NIIRA 2025), with its objectives supporting increased insurance penetration, enhanced professionalism, consumer protection, innovation and a greater contribution by the insurance industry to the national economy.
Omosehin, however, warned that market expansion and innovation must be supported by sound governance and regulatory discipline.
He reaffirmed NAICOM’s commitment to maintaining market stability and protecting policyholders, stressing the importance of ethical conduct, transparency, adequate capitalisation and prompt settlement of genuine claims.
He further identified digital transformation and the adoption of insurance technology (insurtech) solutions as critical to improving service delivery and strengthening the competitiveness of the industry in an increasingly digital financial services environment.
The Commissioner called on regulators, insurers, intermediaries, development partners, educational institutions and the media to collaborate in achieving the objectives of the programme.
He expressed confidence that sustained partnerships and collective action would transform insurance into a stronger instrument for economic resilience, social protection, wealth creation and national development.
The launch of the ISSP marks a new phase in NAICOM’s efforts to reposition Nigeria’s insurance industry around innovation, inclusion, professionalism, public trust and regulatory discipline.