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From Adanna Nnamani, Abuja
Total assets held by insurance companies in Nigeria surged to a record N4.619 trillion at the end of the second quarter of 2025.
This, according to analysts, reflects the industry’s growing resilience and strategic expansion.
Data from the Central Bank of Nigeria (CBN)’s latest quarterly statistical bulletin shows the sector’s increasing focus on investments in both tangible and intangible assets, enabling insurers to withstand macroeconomic pressures while broadening their underwriting capacity and diversifying portfolios.
Quarter-on-quarter, total assets rose by N454 billion, a 10.9 percent increase from N4.165 trillion in Q1 2025. On a year-on-year basis, the sector recorded a nearly N1 trillion growth, representing a 25.3 percent jump from N3.687 trillion in Q2 2024.
The growth has been driven by higher premium inflows and expanded investment activities, as insurers aggressively pursue portfolio diversification. Analysts say these developments strengthen the sector’s contribution to Nigeria’s financial system, supporting both stability and sustainability.
“The insurance industry has shown remarkable resilience, expanding its assets and investments even amid macroeconomic challenges,” a CBN spokesperson said. “This trend underscores its increasingly important role in the broader financial ecosystem.”
The sector’s liabilities mirrored this upward trend, also reaching N4.619 trillion in Q2 2025. Liabilities increased N454 billion quarter-on-quarter, and N932 billion year-on-year, highlighting the balance insurers maintain between obligations and asset growth.
Insurance companies are also racing to meet the National Insurance Commission (NAICOM)’s revised capital requirements ahead of the July 30, 2026 deadline. In November 2025, NAICOM announced that 18 companies had indicated readiness for capital verification, a critical step in the sector’s ongoing recapitalisation.
Speaking at the EY Insurance Summit 2025, NAICOM CEO Olusegun Omosehin described the industry’s response as encouraging, noting that a capital verification framework has been established to ensure transparency and credibility. He emphasized that only firms meeting the minimum capital requirements by the deadline will retain their operating licences.
The recapitalisation roadmap includes: submission of plans by September 30, 2025, verification exercises between November 2025 and June 2026, and the final compliance deadline of July 30, 2026.
With record-breaking asset growth and a clear path for regulatory compliance, Nigeria’s insurance sector is positioning itself for a stronger, more sustainable future, underpinned by technology adoption, innovation, and disciplined investment strategies.
