NAICOM insures 250,000 farmers across eight states in Q2 2025
The National Insurance Commission (NAICOM) has revealed that 250,000 farmers were insured across eight states in the second quarter of 2025 under federal agricultural insurance initiatives designed to strengthen food security and safeguard farmers against climate-related risks.
Commissioner for Insurance, Segun Omosehin, disclosed this in Maiduguri, Borno State, during the 2025 Stakeholders’ Retreat of the House Committee on Insurance and Actuarial Matters, themed “Navigating the New Era of Insurance Regulation – Understanding the Nigerian Insurance Industry Reform Act 2025.”
Omosehin said the joint federal and private sector-backed initiatives are transforming Nigeria’s agricultural sector by shielding farmers from climate shocks, pest outbreaks, and other risks that threaten productivity and livelihoods.
He noted that more than 1.47 million smallholder farmers have been covered under the Nigeria Incentive-Based Risk Sharing System for Agricultural Lending (NIRSAL) insurance schemes, with projections to reach 3.6 million beneficiaries by 2026.
Citing data from recent assessments, the NAICOM boss said insured rice farmers in North Central Nigeria recorded an 11 per cent increase in productivity compared to their uninsured peers, averaging 20 bags per hectare against 18 bags for those without insurance.
He highlighted success stories such as Kaduna ginger farmers who received insurance payouts under the NAGS-AP scheme after suffering over 90 per cent crop loss. Similar programs for livestock in Sokoto, Bauchi, Adamawa, and Plateau States, he added, are helping reduce farmer-herder conflicts by cushioning financial losses.
Omosehin stated that the new Nigerian Insurance Industry Reform Act (NIIRA) 2025 would expand index-based and parametric insurance for crops and livestock, integrate insurance with agricultural inputs and credit, and foster collaboration with technology firms and agribusinesses for digital delivery.
He reaffirmed NAICOM’s commitment to partnering with the legislature, state governments, and industry stakeholders to embed insurance in agricultural extension services and support national goals on financial inclusion and food security.
