The Nigeria Civil Aviation Authority (NCAA) and the National Insurance Commission (NAICOM) have entered into a Memorandum of Understanding (MoU) aimed at improving the regulation and oversight of aviation insurance in Nigeria.
The agreement also provides for the establishment of a Joint Technical Committee on Aviation Insurance, which will coordinate regulatory activities, facilitate information exchange and promote compliance within the aviation industry.
The development was disclosed by NAICOM in a statement on Monday.
Speaking on the partnership, the Director-General of the NCAA, Chris Najomo, said stronger collaboration between both agencies would contribute to aviation safety, financial resilience and better protection for passengers and other industry stakeholders.
Najomo noted that although aviation is regarded as one of the safest forms of transportation globally, the sector is exposed to operational risks that can have significant financial and human consequences.
He stressed the importance of maintaining an effective insurance framework capable of providing adequate financial protection against such risks, adding that the NCAA’s responsibility for aviation safety should be supported by sound insurance arrangements.
According to him, NAICOM has over the years assisted in assessing the adequacy and viability of insurance policies obtained by aviation operators in line with Part 18.14 of the Nigeria Civil Aviation Regulations 2023.
He said the new agreement would further strengthen regulatory cooperation, improve confidence among stakeholders and help create a more efficient operating environment for Nigerian aviation businesses.
Najomo added that the partnership was intended to go beyond enforcement by promoting a regulatory system that addresses industry challenges while maintaining appropriate safety and financial safeguards.
The Chief Executive Officer of NAICOM, Olusegun Omosehin, described the MoU as an important step in strengthening institutional cooperation between the two regulators.
Omosehin said the agreement would establish a coordinated approach to regulatory compliance, risk management, information sharing and stakeholder engagement across the aviation sector.
He emphasised that aviation insurance should be viewed not only as a statutory requirement but also as an important mechanism for managing risks and protecting lives, property, businesses and the broader economy from aviation-related losses.
Under the partnership, NAICOM will provide technical and regulatory support on insurance matters, including the verification of aviation insurance arrangements. The commission will also provide information on insurers licensed to underwrite aviation-related risks.
Omosehin said the commission would continue to support measures aimed at protecting the public and improving compliance among aviation operators.
He described the Joint Technical Committee as the key mechanism for implementing the objectives of the agreement.
The committee is expected to oversee information sharing, periodically review insurance requirements, help resolve operational challenges, coordinate engagements with industry stakeholders and support capacity-building initiatives for relevant institutions and industry participants.
The collaboration is expected to provide a more integrated approach to aviation insurance regulation while strengthening the sector’s ability to manage financial and operational risks.
