By Taiye Olayemi
Universal Insurance Plc says it has met one of the recapitalisation requirements, Minimum Capital Requirement (MCR), under the Nigerian Insurance Industry Reform Act (NIIRA) 2025.
This was disclosed in a statement signed by the Company Secretary and Legal Adviser, Universal Insurance, Mr Chinedu Onyilimba, on Wednesday.
The company said that meeting up withe MCR guidelines, issued by the National Insurance Commission (NAICOM), underscored its commitment to regulatory compliance and financial strength.
The Managing Director, Dr Japhet Duru, said the company had fully deposited N1.5 billion as the statutory deposit with the Central Bank of Nigeria (CBN) in line with the MCR guidelines.
According to Duru, the company paid an additional N1.165 billion following the N335 million earlier deposited after securing shareholders’ approval at its Extraordinary General Meeting (EGM) held on Feb. 5.
He said, “I am delighted to inform you that we have secured all necessary approvals from our shareholders at the EGM to raise N15 billion for recapitalisation.
“We are confident that Universal Insurance Plc will be among compliant operators when NAICOM releases the list on July 31, 2026.”
Duru reaffirmed the company’s commitment to the prompt payment of genuine claims and an improved customer service experience.
NIIRA 2025, which was assented to by President Bola Tinubu on July 31, 2025, introduced a new framework for Minimum Capital Requirements for insurance and reinsurance companies as part of broader reforms to strengthen the sector.
Under the Act, existing operators were given 12 months from the commencement date to meet the new MCR thresholds or face regulatory actions, including cancellation of licences, merger directives, or liquidation.
The new minimum capital requirements are: Life insurance companies, N10 billion; Non-life insurance companies, N15 billion; and Reinsurance companies, N35 billion.
The revised thresholds represent a significant increase from previous requirements and are complemented by a Risk-Based Capital (RBC) framework designed to align capital adequacy with each company’s risk profile.
The recapitalisation deadline for all operators remains in force, with NAICOM reaffirming that the timeline would not be extended and that compliance verification would be ongoing.
Edited by Olawunmi Ashafa
