The National Insurance Commission (NAICOM) has officially revoked the operating licence of Universal Insurance Plc, effective August 14, 2026, after the company failed to meet the minimum capital requirement mandated for its licence category. This decision underscores the regulatory body's commitment to enforcing capital compliance within the Nigerian insurance sector.

In a notice addressed to the chairman of Universal Insurance's board, dated August 13, 2026, NAICOM highlighted that the revocation was necessitated by the company's inability to raise sufficient capital within the stipulated timeframe. The action was taken under the provisions of the Nigerian Insurance Industry Reform Act (NIIRA) 2025, which empowers NAICOM to oversee the financial health and operational integrity of insurance firms in Nigeria.

Following the licence revocation, NAICOM appointed Ogbonna Chukwumerije, a partner at Pinheiro LP, as the receiver and provisional liquidator to manage the winding-up process of Universal Insurance. His responsibilities include the immediate recovery and securing of all company assets, as well as the compilation and settlement of liabilities in accordance with NIIRA 2025. Chukwumerije is also tasked with liaising with NAICOM and providing regular updates on the liquidation progress.

On August 18, 2026, Chukwumerije issued a public notice informing banks, financial institutions, policyholders, and creditors about the commencement of the receivership. He emphasized that he has assumed full control of Universal Insurance and warned all parties to refrain from processing any payment instructions or withdrawal requests that do not bear his official seal and stamp. Only communications from individuals he has explicitly authorized will be recognized during this period.

The notice also directed anyone in possession of assets, funds, records, or documents related to Universal Insurance to fully cooperate with the receivership process. This directive is aimed at ensuring a smooth and orderly liquidation, which is expected to assess the company's assets and obligations to its stakeholders thoroughly.

While the public notice has outlined the immediate steps regarding the receivership, it did not provide details on the total liabilities of Universal Insurance or the number of policyholders affected by this decision. The next phases will involve a comprehensive evaluation of the company's financial standing and the impact on its clients and creditors.

This revocation of Universal Insurance's licence follows a similar action taken against Nigeria Reinsurance Corporation, which also lost its operating licence earlier in August 2026 due to capital inadequacies. The ongoing enforcement of capital regulations by NAICOM reflects a broader effort to stabilize and strengthen the insurance industry in Nigeria, ensuring that firms operate within the required financial frameworks to protect policyholders and maintain market integrity.