The Commissioner for Insurance, Mr Sunday Olorundare Thomas, has said that he would this year direct his regulatory attention to migrating the entire insurance sector from compliance based capital supervision to risk based supervision.
Thomas recalled that the industry was committed to his care with market production of about N320 billion, but that between that time and now, the industry’s market production has grown to N730 billion. “We are making progress but looking at our economy, these, to me, are small numbers. I will also say that our methodology is also changing. Inspection used to be compliance-based with a checklist. But now, the world has moved to risk-based supervision. We started that last year. Some companies have tasted what it means to have risk-based supervision environment. It has been quite revealing about the operations of these institutions. We are taking it to a new level, risk-based capital.