According to the Act, all public buildings must be insured against hazards including collapse, fire, earthquake, flood and storms.
𝐋𝐚𝐧𝐝𝐥𝐨𝐫𝐝𝐬 𝐫𝐢𝐬𝐤 𝐍𝟏𝐦 𝐟𝐢𝐧𝐞, 𝐣𝐚𝐢𝐥 𝐟𝐨𝐫 𝐮𝐧𝐢𝐧𝐬𝐮𝐫𝐞𝐝 𝐛𝐮𝐢𝐥𝐝𝐢𝐧𝐠𝐬https://t.co/m3FMz8mVrH pic.twitter.com/jXzIcyztFX
— Punch Newspapers (@MobilePunch) August 18, 2025
Landlords and occupiers of public buildings who fail to insure their properties now risk a fine of N1 million, a 12-month jail term, or both, under the newly enacted Nigerian Insurance Industry Reform Act.
According to the Act, all public buildings must be insured against hazards including collapse, fire, earthquake, flood and storms. Section 76(6) defines public buildings as tenement houses, hostels, rental properties, and any structure accessed for education, healthcare, recreation, or business.
The law mandates that policies also cover liabilities for injury, death or damage to users of premises. NAICOM has been empowered to seal unsafe buildings without valid insurance cover.
Additionally, insurers must remit 0.25 per cent of premiums into a Fire Services Maintenance Fund, with defaulters facing penalties of up to 10 times the required payment.
“An owner or occupier of premises who contravenes the provision…is liable on conviction to a fine of at least 1,000,000 or imprisonment,” the Act states.
Wow, that’s a serious law! Guess it’s time for landlords to get their insurance in order. Better safe than sorry, especially with all those potential hazards. Good to see they are taking building safety seriously.