The Senate passed a bill yesterday seeking to increase the capital base of risk-based insurance companies.
It, nevertheless, reduced the figures proposed in the bill as contained in the report of its Committee on Banking, Insurance and other Financial Institutions chaired by Tokunbo Abiru.
The red chamber, after a thorough consideration of the panel’s report, approved N25 billion for Non-life Assurance, N15 billion for Life Assurance and N35 billion for Reinsurance firms.
The previous provision of the bill before consideration had pegged the minimum capital requirement for non-life insurance business at N25 billion and the life assurance at N15 billion, while reinsurance was put at N45 billion.
This came as the National Insurance Commission (NAICOM), the apex industry regulatory body, hailed the bill’s passage, adding that it would unlock the growth, prosperity, and potential of the insurance sector.
In a statement, the commission said the passage marked a significant milestone in the country’s efforts to revamp the industry after nearly two decades.
