Former Commissioner for Insurance Mohammed Kari has urged the Federal Government to ensure that all insurance companies are treated equally during the ongoing recapitalisation exercise.
Kari said regulatory credibility would be damaged if companies that failed to meet statutory requirements were granted special concessions through political intervention.
In an open letter to the Minister of Finance, the former National Insurance Commission chief argued that NAICOM should be allowed to enforce capital requirements consistently across the market.
His intervention followed a dispute involving NICON Insurance and Nigeria Reinsurance Corporation after their operating licences were withdrawn over alleged failure to meet required capital levels.
The minister subsequently halted the appointment of liquidators for the two companies.
Kari said more than 90 per cent of operators had followed the recapitalisation process by raising funds, depositing reserves, undergoing verification and paying regulatory fees.
He argued that firms that had invested substantial resources to comply should not be placed at a disadvantage by exemptions granted to a few operators.
According to him, financial regulation loses credibility when statutory obligations are mandatory for most companies but negotiable for selected institutions.
Kari compared the insurance industry with banking and pensions, where regulated entities were generally expected to comply directly with capital requirements set by their regulators.
He said the Nigerian Insurance Industry Reform Act 2025 and NAICOM’s capital guidelines were designed to strengthen financial backing and protect policyholders.
The former regulator urged the Ministry of Finance to support a level playing field, arguing that consistent enforcement would improve investor confidence and strengthen the long term development of the insurance industry.
