WorldStage– Finance Minister Taiwo Oyedele and the National Insurance Commission Chairman, Segun Omosehin on May 15 inaugurated the Insurance Policyholders’ Protection Fund (IPPF) Committee that will protect consumers and build trust in the insurance industry.
Oyedele said the inauguration marked a milestone in the implementation of the Nigerian Insurance Industry Reform Act (NIIRA) 2025, and the committee will demonstrate government commitment to making the industry a major drive of the economy.
According to him, the insurance industry remains a pillar of every modern economy because it provides financial protection, supports risk management, mobilises capital, and encourages business investments.
He also explained that Nigeria Insurance Industry Reform Act (NIIRA 2025) introduced a modern risk-based regulatory framework that matches global best practices, strengthening policyholder protection mechanisms, and regulatory oversight.
The committee’s mandate includes ensuring timely collection of contributions to the fund, establishing sound management and investment practices, developing procedures for disbursement and recovery of loans, and promoting transparency, accountability, and good governance.
“The fund shall be used for the purpose of resolving distress and insolvencies of licensed insurers and reinsurers or as a result of cancellation of licence,” he said.
Apart from compensating policyholders, the fund also protects households and businesses from avoidable losses while building confidence in insurance as a reliable financial safeguard.
Omosehin assured the committee of NAICOM’s regulatory oversight and technical support, reminding the committee to administer the fund in the interest of policyholders.
