Universal Insurance shores up statutory deposit with N1.165bn payment to CBN

Underwriting firm, Universal Insurance Plc has successfully met one of the recapitalisation requirements mandated under the Nigerian Insurance Industry Reform Act (NIIRA) 2025 and the accompanying Minimum Capital Requirement (MCR) Guidelines issued by the National Insurance Commission (NAICOM).

Japhet Duru, managing director/CEO, Universal Insurance stated that the company has fully deposited N1.5 billion as statutory deposit with Central Bank of Nigeria in line with the MCR Guidelines.

The CEO added that the company paid N1, 165,000,000 in addition to the already paid N335,000,000 after its Extraordinary General Meeting (EGM) held on February 4, 2026 to meet the statutory deposit requirement.

“I am delighted to inform you that we have gotten all mandatory consent from our shareholders at the EGM to raise the sum of N15 billion for the purpose of recapitalization. We are confident that Universal Insurance Plc will be on the roll call when NAICOM releases the list come July 31, 2026”.

NIIRA 2025, which was assented to by Bola Tinubu, president of the Federal Republic of Nigeria introduced a new framework for Minimum Capital Requirements (MCR) for insurance and reinsurance companies as part of broad reforms to strengthen the nation’s insurance sector.

Under the Act, existing operators were given 12 months from the commencement date to meet new MCR thresholds or risk regulatory actions including cancellation of licenses, merger directives, or liquidation.

Key Minimum Capital Requirements under NIIRA 2025 include – Life insurance firms N10,000,000,000; Non-life insurance operators N15,000,000,000; Reinsurance companies N35,000,000,000.

These thresholds represent a substantial increase from the previous statutory requirements and are complemented by a Risk-Based Capital (RBC) framework aimed at aligning capital adequacy with each company’s risk profile.

The recapitalisation deadline for all operators, set for 30 July 2026, remains in force, with NAICOM reaffirming that the timeline will not be extended and that compliance verification will be ongoing.

Duru also reaffirmed the commitment of the Company to prompt payment of genuine claims and impressive customer service experience.

Modestus Anaesoronye is a leading Nigerian financial journalist with over two decades of experience reporting on the insurance and pension sectors across Nigeria and West Africa. He has held key editorial positions at major national media outlets, including The Comet, The Nation, and Financial Standard, and currently serves as a Senior Financial Analyst at BusinessDay Media Ltd.

A widely travelled reporter, he has covered industry developments in more than 14 countries across Africa and Asia.

Anaesoronye is a multiple award-winning journalist, honoured several times as Insurance Journalist of the Year and Pension Journalist of the Year by recognised industry bodies, including PensionScope and the Pension Fund Operators Association of Nigeria (PenOp), among others.

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