Nigeria has passed the Insurance Industry Reform Bill introducing stricter compliance measures for property owners, developers, and facility managers across the country. The legislation makes it mandatory to obtain builders’ liability insurance before starting any construction and to insure public buildings, high risk facilities, and government-owned assets.

The National Insurance Commission (NAICOM) will collaborate with enforcement agencies to ensure full compliance with the new requirements. Offenders face penalties including fines starting at ₦2 million or imprisonment for up to three years. Non-compliant properties may also be sealed until all obligations are met.

The reform is expected to improve safety standards, protect investments, and enhance resilience in the real estate and construction sectors. Stakeholders are being urged to familiarise themselves with the provisions to avoid sanctions.