FG inaugurates IPPF committee to Consolidate insurance sector
The Federal Government has inaugurated the Insurance Policyholders’ Protection Fund (IPPF) Committee as part of efforts to consolidate Nigeria’s insurance sector and enhance policyholder protection under the recently enacted Nigerian Insurance Industry Reform Act (NIIRA) 2025.
Minister of Finance and Coordinating Minister of the Economy, Mr. Taiwo Oyedele while speaking at the inauguration ceremony in Abuja said the reform of Nigeria’s insurance industry has gone a notch higher with the establishment of the committee.
The Minister who was represented by the Permanent Secretary of the Federal Ministry of Finance, Mr. Raymond Omachi, said the IPPF is an essential safeguard put on place to protect policyholders in the event of insurer distress.
He posited that the initiative underscores the Federal Government’s commitment to building a more resilient, transparent, and trustworthy insurance ecosystem capable of supporting sustainable economic growth and strengthening investor confidence.
“The establishment of the IPPF Committee demonstrates our resolve to safeguard the interests of policyholders and ensure that, in the unlikely event of insurer distress or failure, policyholders are protected and their claims obligations are met in a timely and orderly manner,” Oyedele said.
He described the insurance sector aa significant modern economies due to its role in risk management, financial protection, capital mobilisation, and support for innovation and investment.
He said Nigeria’s insurance industry still holds significant untapped potential and could play a more strategic role in infrastructure financing, financial inclusion, and broader economic development if supported by stronger regulation and increased public trust.
He explained that the Nigerian Insurance Industry Reform Act (NIIRA) 2025 introduces a modern, risk-based regulatory framework aligned with global best practices and tailored to the evolving realities of the domestic insurance market.
He said the new legislation strengthens regulatory oversight, enhances policyholder protection, promotes transparency and accountability, encourages innovation and competitiveness, and creates a more attractive investment climate for both domestic and foreign investors.
“Most importantly, the Act places policyholder protection at the core of insurance operations, recognising that public trust is fundamental to the growth and sustainability of the industry,” he noted.
He urged members of the newly inaugurated committee to discharge their duties diligence.
“You are entrusted with ensuring that the Fund is adequately structured and sustainably financed, efficiently managed with transparency and accountability, responsive to emerging industry risks and developments, and operated in strict compliance with the provisions of NIIRA 2025,” he said.
He reaffirmed the commitment of President Bola Ahmed Tinubu’s administration to reforms aimed at strengthening financial sector stability and protecting Nigerians.
