Universal Insurance Plc has taken the National Insurance Commission (NAICOM) to court over the cancellation of its operating licence, asking the Federal High Court in Lagos to halt further action on the decision.
The insurer disclosed in a notice filed with the Nigerian Exchange Limited (NGX) on Tuesday that the court had directed NAICOM and other respondents to explain why an interim order should not be granted to suspend further steps relating to the licence cancellation.
The case, filed as FHC/LAG/CS/1179/2026, also involves the appointment of a receiver/manager following the cancellation of Universal Insurance’s licence.
Universal described the cancellation as “purported” and is seeking judicial intervention to prevent actions that could affect the outcome of the case.
The court has directed the respondents not to take steps that could create a fait accompli or otherwise render the proceedings ineffective while the application is being considered.
The matter has been adjourned until September 3, when the respondents are expected to show cause.
Why NAICOM Cancelled the Licence
NAICOM cancelled Universal Insurance’s certificate of registration effective August 14, after the insurer failed to meet the minimum capital requirement applicable to its licence category.
The commission subsequently appointed Ogbonna Chukwumerije, a partner at Pinheiro LP, as receiver/provisional liquidator to oversee the company’s affairs.
The licence cancellation came amid Universal Insurance’s efforts to strengthen its capital position through a proposed N7.12 billion investment from FPNG Co-Nvest Limited.
Under the proposed private placement, FPNG would become the insurer’s majority shareholder with a 50.1 per cent stake.
Universal had argued that the investment would enable it to meet NAICOM’s capital requirement and improve its overall solvency position.
The company also said it had been engaging NAICOM and other relevant regulators regarding the proposed transaction.
The latest court action now puts the dispute over Universal Insurance’s licence and regulatory status before the Federal High Court.
Source: Universal Insurance Plc / Nigerian Exchange Limited (NGX).
