Nigeria’s ten largest listed insurance companies now command a combined market capitalisation of more than N1 trillion, underscoring their weight in the financial markets as the industry prepares for the National Insurance Commission’s (NAICOM) recapitalisation deadline of 30 July 2026.
As at 30 September, Custodian and Allied Plc led the pack with a valuation of N253 billion, making it the 36th most valuable stock on the Nigerian bourse.
NEM Insurance follows with N138 billion, AIICO Insurance with N134 billion, AXA Mansard with N130 billion, and Cornerstone Insurance with N106 billion.
Others in the top include Mutual Benefits Insurance, N73.8 billion, Wapic Insurance, N72.9 billion, Sovereign Trust Insurance, N42.7 billion, and Linkage Assurance, N37.9 billion.
Sunu Assurances rounds up the top ten with a market cap of N33.4 billion. Together, these firms account for more than N1 trillion in market value.
The recapitalisation context
The Nigerian Insurance Industry Reform (NIIRA) 2025, signed by Bola Ahmed Tinubu in July, introduced new thresholds for the industry: N10 billion for life insurers, N15 billion for non-life, and N35 billion for reinsurers.
For the leading listed firms, recapitalisation is less about survival and more about positioning. Their relatively strong balance sheets and access to capital markets mean they are better placed than smaller rivals.
Read also: Recapitalisation: Mandatory filing to assess insurers’ capital strength
Industry experts argue that the process could finally unlock the insurance sector’s long-trumpeted potential. “Nigeria’s insurance industry has a low penetration rate of 0.5%, ranking 70th globally and 5th in Africa, compared to South Africa’s 11%. With a growing GDP and young population, the industry’s potential for growth is significant. The new legislation aims to drive reform, unlocking this potential and propelling the industry’s success over the next decade,” said NAICOM.
For investors, the top ten insurers already stand out for their liquidity and market visibility. Their relatively strong balance sheets and access to capital markets mean they are better placed than smaller rivals. Custodian and Allied, for instance, has consistently diversified into pensions and investment management, making it one of the most integrated financial services groups in Nigeria. NEM Insurance, with a focus on motor and general business, has seen steady growth in gross written premiums and profitability, reinforcing its capacity to attract capital.
Similarly, AIICO Insurance and AXA Mansard, both with strong life insurance portfolios, are positioned to benefit from higher capital requirements that reward long-term stability. Cornerstone and Mutual Benefits Assurance, with broad retail bases, could use recapitalisation as a springboard to scale up their microinsurance and digital distribution channels.
The challenge, however, is execution. While the larger firms are better placed, smaller ones may face difficulties sourcing fresh funds or meeting admissibility rules for assets. This could trigger a wave of mergers, acquisitions, or portfolio transfers by 2026.
As NAICOM put it, “The signing of the Insurance Reform Act into law is a significant triumph for Nigeria’s insurance industry. After years of operating with rigid and weak framework laws that failed to keep pace with the country’s evolving economic landscape, the industry is finally poised for transformation. The insurance industry has had to wait nearly two decades for this critical reform.”
For the top 10 listed players, the reform represents not just compliance but a chance to consolidate market share, attract global partnerships, and redefine the role of insurance in one of Africa’s largest economies.