Nigeria

NAICOM is an independent government agency whose main role is that of a regulator of the insurance and reinsurance industries in Nigeria. NAICOM was established through the National Insurance Commission Act of 1997. It is granted independence in its operations to help safeguard the safety and soundness of the insurance industry in the country. As an entity, it acts as the main defender of consumers and policyholders by making sure that the underwriting firms uphold claims. In its operations, NAICOM has tight regulatory control over insurers, reinsurers, brokers, loss adjusters, and individual agents to prevent companies from collapsing.

The NAICOM is actively involved in the regulation, supervision, and control of the Nigerian insurance industry to ensure the protection of consumers and stability of the entire financial system. Pursuant to its statutory mandate, NAICOM licenses all insurance companies, reinsurers, brokers, loss adjusters, and agents. Moreover, NAICOM ensures that there is proper market discipline through premium rate setting, examination of the financial statements of firms, and settling consumer complaints relating to non-payment of claims. The commission also ensures financial inclusion through the development of regulations for microinsurance and Takaful (Islamic insurance) industries, and gives advice to the federal government on all issues concerning the insurance industry.