Governor Babajide Sanwo-olu of Lagos State
The Health and Managed Care Association of Nigeria (HMCAN) and the Association of Health Insurance Practitioners of Nigeria (AHIPN) have clarified that they have not endorsed the Lagos Private Health Plan (LPHP) in its current form.
In a joint statement issued on Thursday and signed by their chairmen, Dr Abdulkadri Osumah and Dr Ben Okpalla, respectively, the associations stated that they would not endorse the implementation of the plan until the required approval from the National Health Insurance Authority (NHIA) is obtained in accordance with the NHIA Act 2022 and the agreed regulatory framework.
The associations emphasised that attendance at the plan’s launch, consultations, or expressions of interest by individual Health Maintenance Organisations (HMOs) should not be interpreted as collective industry endorsement.
The statement stressed that HMO accreditation is separate from the regulatory approval required for a specific health insurance plan.
The associations called for the correction of reports suggesting that the HMO industry had collectively endorsed the Lagos initiative.
Despite their reservations about the implementation framework, HMCAN and AHIPN reaffirmed their support for the Federal Government’s drive towards universal health coverage and the objectives of the Lagos State Executive Order aimed at giving effect to the NHIA Act 2022.
They expressed appreciation to Lagos State Governor Babajide Sanwo-Olu for his commitment to expanding access to healthcare, noting that implementation must be lawful, affordable, and properly coordinated among relevant regulatory authorities.
According to the associations, the communiqué issued following discussions between the NHIA and Lagos State on October 28 and 29, 2025, provided the foundation for implementing the plan.
The groups insisted that the agreed framework recognises the NHIA as the sole statutory regulator, makes participation by HMOs in the LPHP voluntary, preserves employers’ right to select NHIA-approved health plans, and requires prior NHIA approval for all plans.
They noted that the communiqué provides for nationally recognised compliance certificates issued by the NHIA in collaboration with state authorities.
“Lagos State could issue certificates on behalf of the NHIA bearing the logos of both institutions, while the NHIA and the Lagos State Health Management Agency (LASHMA), alongside other relevant authorities, should coordinate compliance and enforcement within their respective mandates,’ they stated.
HMCAN and AHIPN called for the publication of the applicable NHIA approval documents to clarify the plan’s regulatory status.
They further raised concerns about what they understood to be an aggregate 13 per cent levy or tax on private-sector health insurance arrangements under the framework.
The associations requested clarification on the levy’s legal basis, calculation method, and constituent charges.
They warned that imposing the levy on top of existing insurance premiums and statutory obligations could increase costs for employers already financing healthcare for their workers.
The groups warned that additional financial burdens could undermine the affordability of private health insurance and reduce funds available for patient care.
They insisted that any additional charges must be carefully assessed to ensure they do not discourage employers from maintaining health insurance coverage or limit access to essential healthcare services.
The associations also argued that compliance requirements for the Lagos Private Health Plan had not been communicated with sufficient clarity.
They called for the publication of comprehensive guidelines specifying acceptable health insurance coverage, minimum benefit requirements, certification procedures, and applicable sanctions.
The guidelines, they said, should align with the presidential directive on universal health coverage and provide clear instructions for employers seeking to comply. They also insisted that existing NHIA-approved health insurance coverage should be recognised under the implementation framework to prevent duplicate enrollment and unnecessary additional payments.
The associations further called for a review of the December 31, 2026, compliance deadline, arguing that implementation timelines should reflect the availability of complete guidelines and functional compliance systems.
They declared that employers must be given adequate notice and a realistic transition period before enforcement measures and sanctions begin.
Warning that introducing penalties before the relevant requirements and administrative processes are fully established could create uncertainty for employers, HMOs, and healthcare providers, the associations stated that they were ready to work with the Lagos State Government, LASHMA, the NHIA, the Nigeria Employers’ Consultative Association (NECA), healthcare providers, organised labour, and other stakeholders.