Regulator Orders Shutdown of Insurance Company After Licence Cancellation
- NAICOM has cancelled Nigeria Reinsurance Corporation's operating licence after the company failed to meet the minimum capital requirement for its category
- Senior Advocate of Nigeria Muiz Banire was appointed receiver and provisional liquidator, with his mandate taking effect on August 3, 2026
- All bank accounts belonging to Nigeria Reinsurance Corporation have been frozen as the liquidation process gets underway
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The National Insurance Commission (NAICOM) has revoked the operating licence of Nigeria Reinsurance Corporation, citing the company's failure to meet the minimum capital threshold required for reinsurers operating in the country.
The commission invoked its powers under the Nigerian Insurance Industry Reform Act 2025 after the company did not meet the statutory recapitalisation deadline set by the regulator.
Source: Facebook
The cancellation of its certificate of registration became effective on August 3, 2026.
Liquidator Appointed to Oversee Process
Senior Advocate of Nigeria, Muiz Banire, has been named receiver and provisional liquidator to manage the company's wind-down. In a public notice, Banire confirmed that his appointment also took effect on August 3, 2026, the same day NAICOM cancelled the company's registration, Punch reports.
Banire said he has been authorised to take custody of Nigeria Reinsurance Corporation's assets, recover property belonging to the insurer, verify and settle legitimate liabilities, and provide regular progress reports to NAICOM throughout the liquidation.
He directed banks, financial institutions, policyholders and other stakeholders to act only on instructions that originate directly from him or from individuals holding his written authorisation.
All bank accounts linked to the company have been frozen pending further directions from his office.
Banire also issued a clear warning that any person conducting financial transactions on behalf of the company without his approval would do so entirely at their own risk. Only documents carrying his official seal as receiver, or those issued by representatives he has formally authorised, will be recognised during the process.
Source: Getty Images
NAICOM Enforces Capital Standards
The licence withdrawal is part of NAICOM's broader enforcement of financial standards introduced under the Insurance Industry Reform Act, The Sun reports.
The regulator has made clear that insurance operators unable to satisfy the required capital thresholds will not be permitted to continue doing business in the sector.
The liquidation is expected to involve securing and, where necessary, disposing of the company's assets, settling valid claims, and ensuring the reinsurer's affairs are closed in an orderly manner under Nigerian law.
CBN announces closure of Nigerian Bank, notifies customers
Earlier, Legit.ng reported that the Central Bank of Nigeria (CBN) has revoked the operating licence of Goldman Microfinance Bank Limited, effectively shutting down its operations for failing to meet regulatory requirements.
This was made known in a statement signed by Hakama Sidi-Ali, the Acting Director of Corporate Communications, on Tuesday, June 30, 2026.
The apex bank said the revocation was approved by the CBN governor, Olayemi Cardoso, in line with the provisions of Section 12 of the Banks and Other Financial Institutions Act (BOFIA), 2020.
Source: Legit.ng
