The Nigeria insurance industry concluded Q4 2025 with N2,301.8bn. It shows an impressive quarter on quarter change of about 36% and about 47.3% growth rate on year on year basis. The performance for same period in 2024 was N1558.7bn. The publications of The Research & Statistics Department released today April 13,2026, indicated an increased market retention capacity compared to prior period, increased industry size and, improved business quality and profitability.
The report cleared that the ‘exceptional performance’ was reflective of the ongoing regulatory measures aimed at fostering market deepening. The top notch business grower the report stated was the oil & gas business in the non life and the growing annuity funds in the life segments of the market respectively.
The industry also recorded an aggregate sum of N4,791.6bn in total assets, representing 7.4% expansion, “sustaining an upward trajectory relative to the prior quarter when it stood at N4,460.2bn”
Rendering ovation for the market, National Insurance Commission Publication said, “Indeed, the industry’s performance during the period has recorded many folds higher compared to the national output (3.9%), underscoring its increasing relevance and structural importance in Nigeria’s financial ecosystem, a commendable progress owing to increasing public confidence in the insurance market.
The non-life lead the market, contributing 68.4% to the total premium pool, following its pattern in the corresponding quarter of 2024 while the life insurance business accounted for 31.6% during the period. Breaking down the business segment by portfolio, it cleared oil & gas lead represented by 30.3%. Fire followed with 20.4% while motor insurance accounted for 16.1% as miscellaneous, general accident, marine and aviation businesses also contributed 11.9%, 9.5%, 8.7% and 3.2% respectively..
“On the other hand, the life insurance segment was led by annuity funds in contrast to the behaviour reported in the prior quarter, contributing about 44.3% of all premiums recorded in the business. Individual life business also accounted for 36.2%, while group life 19.5% during the quarter under review,” the report stated.
Insurers showed confidence in the financial system at a time when other players exhibited doubt by increasing their risks retention, reflected in the robust retention levels across the market. “The overall market average retention stood at 68.!%, with the life business achieving about 94.1% and non-life segment recording a retention ratio of 60.3% during the period.”
The industry rising profile in claims management was evident in the performance of 2025. Gross claims reported in the fourth quarter of 2025 rose to N724.7bn, representing about 31.5% of the gross premiums written during the period. “This performance highlights a strong underwriting capacity within the market and reflects the effectiveness of insurers’ pricing strategies during the quarter.
The report stated that the life insurance section recorded a notable claims settlement ratio of 65.5%, while the non-life segment achieved a settlement rate of 75.5% of total claims reported during the period under review.
The industry closed the year with a favourable profitability recording a net loss ratio of 43.6% as the overall market average. The non-life segment posted about 49.3% while the life business recorded 31.4% of net loss ratio, indicative of a consistent positive performance in terms of profitability and underwriting quality in the market.
In a gallant mood the report stated, “The Nigerian insurance industry has shown significant resilience amidst a challenging macroeconomic environment, sustaining solid performance across critical areas including premium generation, claims settlement, profitability and aggregate assets expansion. This also, underscores a positive outlook especially, as the sector’s ongoing transition is expected to achieve a strong pillar, capable of supporting the nation’s pursuit of the one trillion-dollar economy.
