Nigeria’s insurance industry recorded significant growth in the fourth quarter of 2025, with total gross premiums reaching N2.3 trillion. The figure marks a 36% quarter-on-quarter increase and a 47.3% year-on-year growth in gross premiums, according to the National Insurance Commission (NAICOM).

The impressive growth was driven primarily by the Oil & Gas sector in the non-life insurance segment and the increasing volume of Annuity funds within the life insurance market.

A closer breakdown of the gross premiums shows that the life insurance segment generated N727.4 billion, with Annuity funds leading the charge, contributing 44.3% of the premiums. Individual life business accounted for 36.2%, while group life contributed 19.5%.

In the non-life segment, the oil & gas sector generated the largest premium at N476.6 billion (30.3%), followed by fire insurance at N321.1 billion (20.4%), and motor insurance at N252.8 billion (16.1%).

This growth highlights the increasing relevance of the insurance industry within Nigeria’s financial ecosystem and signals a growing public trust in the insurance market.

Retention performance in various non-life classes shows strong results across most sectors, except for marine (47%), aviation (30%), and oil & gas (43%), which exhibited lower retention capacities among underwriters.

Despite challenges within the financial services sector, underwriters demonstrated confidence, reflected in strong retention levels overall. The overall market retention ratio stood at 68.1%, with life insurance recording an impressive 94.1%, while non-life insurance had a retention ratio of 60.3%.

Gross claims for the period rose to N724.7 billion, accounting for 31.5% of the gross premium.