The insurance coverage business recorded a 47.3 per cent, 12 months-on-12 months, YoY, development in Gross Premium Written, GPW, to N2.301 trillion in 2025 from N1.558 trillion recorded in 2024.
In line with the insurance coverage business report launched by the The Nationwide Insurance coverage Fee, NAICOM, disclosed this in its insurance coverage business report launched yesterday.
The report additionally confirmed that claims cost declined by 21.7 per cent to N724.7 billion in 2025 from N926.1billion recorded in 2024.
The report acknowledged: “The yr 2025 noticed a formidable development within the Nigerian insurance coverage sector, with Gross Premium Written reaching a exceptional N2.301 billion, an distinctive efficiency reflective of the continuing regulatory measures aimed toward fostering market deepening. This was largely influenced by the Oil & Gasoline enterprise within the non-life and the rising Annuity funds within the life segments of the market, respectively.
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“Certainly, the business’s efficiency through the interval has recorded many folds greater in comparison with the nationwide output (3.9%), underscoring its growing relevance and structural significance in Nigeria’s {financial} ecosystem, a commendable progress owing to growing public confidence within the insurance coverage market.
“The non-life insurance coverage section continued to guide the market, contributing 68.4% to the overall premium pool, following its sample within the corresponding quarter of 2024 whereas the Life Insurance coverage enterprise accounted for 31.6% through the interval. Insights into the non-life class reveal the Oil & Gasoline enterprise as main portfolio, representing 30.3% of all of the non-life premiums generated. Fireplace Insurance coverage adopted with a notable place of 20.4% share whereas Motor Insurance coverage accounted for 16.1% as Miscellaneous, Basic Accident, Marine and Aviation companies additionally contributed 11.9%, 9.5%, 8.7% and three.2% respectively.
“Alternatively, the Life Insurance coverage section was led by Annuity funds in distinction to the behaviour reported within the prior quarter, contributing about 44.3% of all premiums recorded within the enterprise. Particular person Life enterprise additionally accounted for 36.2%, whereas Group Life 19.5% through the quarter underneath evaluate.
“The situation of improved claims administration within the business has contributed to the expansion in gross claims reported within the fourth quarter of 2025, which rose to N724.7 billion, representing about 31.5% of the gross premiums written through the interval. This efficiency highlights a robust underwriting capability throughout the market and displays the effectiveness of insurers’ pricing methods through the quarter. Throughout the interval, the Life Insurance coverage part recorded a notable claims settlement ratio of 65.5%, whereas the non-life section achieved a settlement fee of 75.5% of whole claims reported through the interval underneath evaluate.”
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