If you drive a car, work for a company, run a business, employ staff, own a shop, import goods, visit hospitals, or even enter public buildings, there are insurance policies you are legally required to have in Nigeria.
These are not optional. They are now mandated under the Nigerian Insurance Industry Reform Act (NIIRA) 2025 because they protect lives, assets, businesses, and the public when unexpected events occur.
Yet, many individuals and organisations remain unaware of:
- which insurance policies are compulsory,
- who they apply to, and
- the legal and financial consequences of non-compliance.
This guide explains all the compulsory policies in Nigeria under NIIRA 2025 in simple terms:
- Third-Party Motor Insurance – Section 84
No vehicle is permitted on Nigerian roads without Motor Third-Party Insurance.
It protects third parties against injury, death, or damage to their property caused by your vehicle. Driving without it is illegal.
Heirs Insurance provides Third-Party Motor Insurance that is quick to arrange and can be issued digitally, making compliance straightforward for vehicle owners.
2. Group Life Insurance – Section 68(1)
This applies to all employers in Nigeria, whether SMEs, corporates, or public institutions. Every employer is required to provide Group Life Insurance for their employees (minimum of 5). The policy pays a benefit to the employee’s beneficiaries if death occurs while in service.
The cover is structured based on employee salary bands and organisational size, making it scalable for both SMEs and large corporates. Employers can get started by sharing their staff schedule, after which a tailored quotation and onboarding process is completed.
Click here to explore the Heirs Group Life plan.
3. Marine Cargo Insurance – Section 82
Imported goods must be insured locally before they arrive in Nigeria.
Marine Cargo Insurance protects goods in transit by sea, air, or land against loss or damage. Importers can obtain cover by providing shipment details, cargo value, and voyage information. This ensures claims are settled locally and promptly.
Click here to protect your shipments.
4. Credit Life Insurance – Section 91(3)
This applies to loans and credit facilities. Under the law, credit facilities of ₦10 million and above must be insured with Credit Life Insurance.
Credit Life Insurance ensures that outstanding loan balances are paid if the borrower dies or becomes permanently disabled.
Heirs Credit Life Assurance plan protects both the lender and the borrower’s family from the burden of unpaid debt. The cover is embedded within loan structures for seamless protection.
5. Container Insurance – Section 203
Shipping containers used in logistics and trade must be insured against loss, damage, or liability during transit and handling.
Heirs Insurance Goods-in-Transit plan protects containerised cargo across the supply chain and is structured for importers, exporters, and logistics companies.
6. Healthcare Professional Indemnity Insurance – Section 80
Doctors, hospitals, clinics, and other healthcare providers must carry professional indemnity insurance.
Professional Indemnity Insurance protects healthcare providers against legal liabilities arising from professional errors. The cover includes legal defence costs and compensation where applicable.
Click here to get started.
7. Builders’ Liability Insurance – Section 75
This policy is compulsory for buildings under construction.
Any building – more than a floor – under construction must be insured against risks that may affect workers, third parties, or neighboring property.
The Builders’ Liability Insurance provides protection throughout the construction period. It covers site accidents, structural collapse, and third-party injury or property damage.
8. Occupiers’ Liability Insurance – Section 76
If your building is open to the public; offices, malls, schools, hospitals, you must have this cover.
Occupiers’ Liability Insurance exists because visitors should be safe in these spaces. When accidents happen due to structural faults or safety lapses, compensation should not depend on whether the building owner has available cash. Click here to explore options.
9. Government Assets and Employees Insurance – Section 77
Government properties and public sector employees must be insured to ensure continuity of public services after loss events.
Heirs Insurance provides tailored Group Life Assurance policies for public sector and covers government buildings, equipment, and infrastructure. Click here to explore options.
10. Petroleum and Gas Stations Insurance – Section 78
Filling stations and gas facilities operate in high-risk environments and must carry insurance that covers fire, explosion, and third-party liability.
Heirs Insurance provides Insurance solutions that protect physical assets, operational risks, and liability exposures. Click here to request a quotation.
11. Aviation Ancillary Services Insurance – Section 81
This applies to aviation service providers that support airline operations.
Under NIIRA 2025, aviation ancillary service providers such as catering companies, ground handling operators, equipment handling providers, and other aviation support services are required to maintain insurance cover.
This insurance protects against operational risks, third-party liability, and damages that may arise while providing services within airport environments.
The cover ensures aviation support service providers operate in compliance with regulatory requirements while protecting passengers, operators, and airport infrastructure.
Making compliance simple with Heirs Insurance Group
Heirs Insurance Group combines life and general insurance capabilities to deliver all compulsory covers in one place. From employee protection to asset insurance and liability cover, the focus is on simple onboarding, fast policy issuance, and reliable claims support.
Whether you are an employer, a business owner, a professional, or a vehicle owner, getting the right compulsory cover does not have to be complicated.
Click here to get started.
