Fintech Alliance with NAICOM Targets Insurance Gap

Nigeria’s insurance sector is gearing up for change as regulators and fintech innovators join hands to drive adoption. The National Insurance Commission (NAICOM) and the Fintech Association of Nigeria (FintechNGR) say their new collaboration will focus on using technology to raise insurance penetration, which remains between 1% and 3%—among the lowest in Africa.

The partnership was announced after a high-level meeting in Abuja, where regulators and lawmakers met fintech leaders to discuss financial inclusion. Industry experts say the move could transform how insurance products are built, distributed, and accessed, especially for underserved Nigerians.

Technology as a Game-Changer

At the talks, President of the Africa Fintech Network, Dr Segun Aina, argued that technology could reshape Nigeria’s struggling insurance market. Supporting this view, FintechNGR’s President, Dr Stanley Jacob, said, “Continuous engagement between regulators and fintech players is critical to deepening financial inclusion, and insurance must be part of that agenda.”

NAICOM’s Commissioner, Mr Olusegun Ayo Omosehin, admitted that supervisory challenges had slowed progress. He explained that the absence of advanced supervisory technology tools had limited oversight. Still, both parties agreed to map the insurance ecosystem and identify digital players who can deliver innovative solutions.

Industry watchers believe the collaboration could drive growth in microinsurance and health insurance, offering new options for low-income earners. Similar approaches have succeeded in Kenya’s microinsurance market and could be replicated locally.

CBN Stresses Innovation with Compliance

The discussions with NAICOM were part of FintechNGR’s wider advocacy tour of key financial regulators, including the Central Bank of Nigeria (CBN). At the meeting, CBN Governor Dr Olayemi Cardoso said, “All we want to hear from your organisation is good news. Drive your members in the direction that is good for the country.”

Adding her perspective, Dr Rakiya Opemi Yusuf, Director of the CBN’s Payments System Supervision Department, reaffirmed that, “CBN is committed to driving innovation and, most importantly, compliance amongst fintechs.”

Observers say aligning regulators and fintech players could help build a stronger framework for cross-border inclusion, including the proposed Africa Fintech Passport. With Nigeria pushing for deeper financial inclusion and digital innovation, this partnership may signal a turning point for insurance penetration.