The National Insurance Commission (NAICOM) has reaffirmed its commitment to developing Nigeria’s Takaful insurance market, describing the model as a potential catalyst for wider insurance coverage, financial inclusion and sustainable economic growth.
The Commissioner for Insurance, Olusegun Ayo Omosehin, made this known while receiving a delegation from the Islamic Financial Services Board (IFSB) following the completion of a diagnostic assessment of Nigeria’s Takaful sector.
Omosehin urged the IFSB team to provide practical, objective and data-driven recommendations that could help strengthen ongoing regulatory reforms and support the development of the market.
The IFSB delegation, led by Dr. Hamim Syahrum Ahmad Mokhtar, presented preliminary findings from its five-day assessment, which involved engagements with regulators, Takaful operators, industry associations and development partners.
The commissioner emphasised that Takaful should be viewed as an alternative insurance model rather than simply a segment of conventional insurance. He said the system could serve a wide range of consumers while operating under established Shariah governance principles.
According to him, developing the sector would require stronger risk-based capital and supervisory frameworks, improved transparency in industry data and sound approaches to surplus management.
He noted that these measures would be essential to protecting participants while creating an environment capable of supporting the long-term growth of Takaful operators.
The diagnostic mission also identified measures for improving Nigeria’s legal, regulatory and supervisory framework for Takaful insurance.
NAICOM described its collaboration with the IFSB as an important step towards building a stronger and more resilient Takaful ecosystem in the country.
The commission said the partnership could help improve financial stability, strengthen consumer confidence and policyholder protection, and encourage responsible innovation within Nigeria’s insurance industry.
NAICOM added that a comprehensive report on the assessment would be made public after the review process is completed and feedback from relevant stakeholders has been incorporated.
