The highly capitalised insurance industry reached its current zenith of N1.079tr after the concluded recapitalisation exercise which lifted the market capitalisation from prior N300 billion, adding fresh N700 billion capital.
This figure disclosed today in Lagos by the Commissioner for Insurance, National Insurance Commission, Mr. Olusegun Omosehin, at Media Interactive Session on Developments in the Nigerian Insurance Sector.
This combined capital comes from 50 relicenced firms consisting of 48 insurers and two reinsurers. The Commission disclosed that 24 companies sought for fresh funds through private and public placement while the slightly major 26 companies reverted to the capital they have built up prior to the exercise.
Under the new minimum capital requirement, life insurance capital was pegged at N10 billion, non-life N15 billion and N35 billion for reinsurance companies and this is to deposited in an escrow account of the Central Bank of Nigeria.
Mr. Omosehin said plan has reached advanced stage to return each company’s capital at the CBN by the end of September. This promise he said were made to CEOs of all the 50 companies at a on the sideline meeting at the Professional Forum in Abeokuta on Thursday.
