Nigeria is going through a challenging time even though President Bola Tinubu's government is pushing for reforms like removing fuel subsidies, unifying the currency, and restructuring the economy. However, these policies have led to inflation, worsened social conditions, and caused unrest in an already fragile security situation.
The northern region still faces jihadist insurgencies like ISWAP around Lake Chad and bandit attacks in the northwest. In the southeast, the separatist movement IPOB continues to create tension. Even big cities like Lagos and Abuja are dealing with protests, power outages, and expensive public services. Organisations working in Nigeria face many operational problems like rerouted transportation, slow emergency responses, and different types of security threats.
The rise of illegal checkpoints and surprise attacks shows that risk management strategies must focus on safe movement, reliable communication, and strong local networks. Fast and flexible responses are key to running operations effectively in Nigeria.
Insurance Challenges & Market ResponseNigeria is often seen as a "high-risk" area, but the challenges are not just about physical safety. There is also structural instability that can affect how well insurance policies work. NAICOM is promoting a localization policy that requires insurance premiums to go through licensed local partners. This can actually be helpful by making claim processing faster and giving better access to local information. Still, many international organizations need global coverage for situations beyond local capacity, like cross-border evacuations or crisis management. That's why a hybrid insurance structure, combining local compliance with global flexibility — is the most effective solution. Strategic Takeaway
Insurance in Nigeria isn't just about underwriting, it's about access, networks, and timing. With NAICOM's localisation drive tightening the regulatory screws, and volatility continuing across financial and security lines, organisations must plan not just for cover but for how that cover is delivered and activated.
Those with embedded local relationships and international structuring flexibility are gaining faster claims response and operational edge especially in areas where delays can prove critical. The future of Insuring Nigeria may well hinge less on traditional pricing and more on executional capability: who you know, how fast they move, and how well they can get things done when the plan hits friction.
