Nigeria’s National Insurance Commission (NAICOM) signed a Memorandum of Understanding with the Bureau of Public Procurement (BPP) to formalize cooperation on embedding insurance more consistently into public procurement processes. The agreement is designed to clarify procurement-related insurance requirements and strengthen monitoring and compliance, including greater use of insurance bonds. The MoU commits the agencies to standardize and clarify insurance requirements across public procurement, promote financial stability and consumer protection, and use insurance bonds to support local insurance market growth and increase local content in public contracts. NAICOM also indicated it plans to establish a platform to monitor and verify insurance coverage for public procurement items, while BPP pointed to its move to a fully digital submission model and urged insurers to ensure they are included in the BPP database for effective monitoring. The cooperation sits alongside NAICOM’s ongoing reform agenda following the Nigerian Insurance Industry Reform Act 2025, including a recapitalization and verification exercise. Implementation is to be supported by a joint technical working group and periodic retreats to monitor delivery, address challenges, and refine sector-specific procurement templates and guidelines.
Nigeria National Insurance Commission 2026-03-10
Nigeria National Insurance Commission signs MoU with Bureau of Public Procurement to standardize insurance requirements and expand use of insurance bonds in public procurement
Nigeria’s National Insurance Commission (NAICOM) and the Bureau of Public Procurement (BPP) signed a Memorandum of Understanding to enhance insurance integration in public procurement. The agreement aims to standardize insurance requirements, promote financial stability, and increase local content through insurance bonds. NAICOM plans to establish a monitoring platform, while BPP is transitioning to digital submissions, urging insurers to join its database.