.….Receiver Takes Over NICON Assets After Licence Revocation After Failing NIIRA 2025 Recapitalisation
The National Insurance Corporation of Nigeria, NICON, has lost its operational licence and has been placed under a Receiver Manager.
The operational licence of NICON – owned by the Federal Government and established in 1969 by Decree 2 – has been revoked by the National Insurance Commission, NAICOM, Nigeria’s insurance regulatory body.
NICON’s operational licence marked RIC – 049, was cancelled by NAICOM following the company’s persistent failure to meet prescribed regulatory requirements.
Following the revocation of the operational licence, NAICOM has appointed a Senior Advocate of Nigeria, SAN, Chukwuma-Machukwu Ume, as Receiver and Provisional Liquidator of the company.
The Receiver has issued a public notice to policy-holders, creditors, business partners and government agencies to direct all matters concerning NICON’s affairs and assets to his office. It warned that any transactions undertaken on behalf of “NICON, In-Liquidation” without his ratification would not be honoured.
NAICOM said the action is part of enforcement of the new capital requirements under the Nigerian Insurance Industry Reform Act, NIIRA 2025. Operators were given a deadline to meet the minimum capital threshold or have their licences revoked.
NICON was among firms that failed to meet the requirements.
With the appointment, control of the company has been transferred to the Receiver, who is mandated to secure assets, establish liabilities and oversee the winding-up process.
NAICOM said the move is to protect policy-holders and creditors and ensure an orderly settlement of claims. The commission added that 43 reinsurance companies had met the new capital requirements.
