Lasaco Assurance Plc has completed its recapitalisation exercise and received clearance from the National Insurance Commission (NAICOM) [1].
This milestone ensures the company remains compliant with the Nigerian Insurance Industry Reform Act (NIIRA) 2025 [1]. Failure to meet these minimum capital requirements could result in regulatory penalties or the loss of operating licenses for insurance firms in Nigeria [1].
The company raised N19.3 billion during the exercise [2]. This figure exceeds the original target capital amount of N18.47 billion [2]. According to industry data, the company surpassed its goal by approximately 4.5 percent [2].
Lasaco Assurance is one of 43 insurers and reinsurers that have now met the new capital requirements established by NAICOM [4]. The regulator's move aims to strengthen the financial stability of the insurance sector across the country [1].
While the company has received clearance for the current mandate, shareholders have approved the raising of an additional N25 billion in capital [5]. This further raise suggests a strategy to expand its financial cushion beyond the minimum regulatory threshold [5].
The recapitalisation process follows the enforcement of the NIIRA 2025, which mandates higher capital bases to ensure that insurance providers can meet their obligations to policyholders [1]. By securing this clearance, Lasaco Assurance positions itself as a compliant entity in a tightening regulatory environment [1].
“Lasaco Assurance Plc has completed its recapitalisation exercise and received clearance from the National Insurance Commission.”
The successful recapitalisation of Lasaco Assurance reflects a broader industry shift toward higher solvency standards in Nigeria. By exceeding the NIIRA 2025 requirements and planning for further capital raises, the company is attempting to mitigate systemic risk and increase its capacity to underwrite larger risks in a volatile market.
