The Commissioner for Insurance, Federal Republic of Nigeria, Olusegun Ayo Omosehin, has called on West African insurers to rise beyond traditional boundaries and lead the continent’s response to the growing impacts of climate change.
Speaking at the 2025 West African Insurance Companies Association (WAICA) Conference in Lagos, Omosehin said the time has come for the insurance profession to evolve from a profit-driven enterprise to a force for resilience, equity, and sustainable development.
“There are moments in history when a profession must rise beyond its traditional boundaries—when its purpose must stretch beyond profit and policy to become a pillar of transformation. This is one of those moments,” he said.
Themed “The West African Insurer in the Face of Climate Change,” the conference brought together regulators, industry leaders, and policymakers from across the sub-region to chart a path for climate-resilient insurance practice in Africa.
Omosehin described climate change as a “macroeconomic threat” that is reshaping fiscal policies, displacing communities, and testing institutional resilience across the region.
He cited recent data showing that flooding in 2024 affected over 7.5 million people across 16 West African countries, with Nigeria alone accounting for 1.3 million displaced persons. In 2025, more than 33,000 Nigerians were displaced, 3,800 homes destroyed, and 5,300 hectares of farmland submerged, threatening food security and livelihoods.
“These are not just statistics—they are stories of disruption, loss, and delayed development,” he noted. “Yet, within this crisis lies an opportunity to redefine insurance as a catalyst for resilience and sustainable growth.”
Highlighting government efforts, the Commissioner said the Nigerian Insurance Industry Reform Act (NIIRA) 2025 represents a turning point in strengthening the sector’s capacity to address emerging risks.
Key features of the Act include:
Raising the capital base of insurance operators
Expanding compulsory insurance classes to cover agriculture and environmental risks
Promoting public-private partnerships for infrastructure and climate resilience
Reinforcing consumer protection and public trust in the insurance system
“These reforms are not merely technical—they are foundational to our national preparedness and long-term sustainability,” he stated.
Omosehin underscored the need for stronger financial instruments to mitigate climate shocks, noting that traditional budgetary responses are no longer sufficient.
“When integrated into national planning, insurance becomes one of the most effective tools for managing climate risk and promoting economic stability,” he said.
Addressing WAICA member states, Omosehin urged insurers, reinsurers, and industry leaders to act decisively by: Innovating boldly with parametric and microinsurance products suited to Africa’s climate realities
Investing in data and technology for better climate modelling and risk assessment
Collaborating across borders to pool resources and strengthen regional resilience
Expanding financial inclusion to reach smallholder farmers, artisans, and market traders
Building human capacity to empower the next generation of insurance professionals
“Insurance must evolve from a transactional service to a strategic enabler of development,” he emphasized.
The Commissioner reaffirmed the National Insurance Commission (NAICOM)’s commitment to policies that promote collaboration among operators, regulators, and development partners across the sub-region.
He urged delegates to view the conference as a turning point—where insurance becomes central to West Africa’s climate response and a driver of inclusive, sustainable growth.
