NIIRA: NAICOM Warns Brokers over Premium Non-Remittance, Unethical Market Conduct

By LOVETH-AZODO CHIJIOKE, Lagos

The National Insurance Commission (NAICOM) has issued a stern warning to registered insurance brokers and intermediaries operating in the country, cautioning that sharp market practices, non-remittance of collected premiums, and unlicensed activities will attract severe statutory sanctions under the newly enacted Nigerian Insurance Industry Reform Act (NIIRA).

The Commissioner for Insurance and Chief Executive Officer of NAICOM, Mr. Olusegun Ayo Omosehin, delivered the warning in Abuja on Wednesday while declaring open the 2026 National Insurance Brokers Conference and Exhibition organised by the Nigerian Council of Registered Insurance Brokers (NCRIB).

Omosehin asserted that the advent of NIIRA marks the dawn of a zero-tolerance regulatory regime aimed at restoring public trust, protecting policyholders, and purging the market of unethical operators.

He highlighted that while insurance brokers remain pivotal in generating a substantial portion of the nation’s gross premium income, the privileges of intermediation come with heightened accountability and stricter corporate governance obligations.

“NIIRA represents a total modernization of our legal and regulatory framework, designed to strengthen balance sheets, enforce sound market conduct, protect consumers, and accelerate insurance penetration,” Omosehin declared.

“For insurance brokers, this landmark legislation introduces stricter market conduct requirements and elevated licensing regimes. Unlicensed activities, ethical lapses, and non-remittance of premiums carry far-reaching consequences. The Commission will strictly enforce these rules to protect consumer confidence.”

The NAICOM boss stressed that the commission is actively recalibrating its enforcement apparatus to track market conduct in real time. He urged the leadership of the NCRIB to impress upon its members the need to align their internal control systems with the statutory provisions of the new law, warning that the regulatory umbrella will not shield any firm found compromising fiduciary duties or holding onto underwriting funds.