Universal Insurance Plc has approached the Federal High Court in Lagos to challenge the cancellation of its operating licence by the National Insurance Commission.
The insurer disclosed the legal action in a notice to the Nigerian Exchange, stating that the court had granted it permission to commence proceedings against NAICOM and other respondents.
Universal Insurance is seeking to overturn the regulator’s decision to cancel its licence and appoint a receiver/provisional liquidator.
The court has ordered the respondents to show cause why an interim order should not be granted to stop further action relating to the licence cancellation and receivership. The case has been adjourned until September 3, 2026.
NAICOM cancelled the insurer’s licence after it failed to meet the July 31 deadline for compliance with new minimum capital requirements for non-life insurance companies.
Following the cancellation, the regulator appointed Ogbonna Chukwumerije of Pinheiro LP as Receiver/Provisional Liquidator to oversee the company’s assets and liabilities.
The legal challenge comes shortly after Universal Insurance announced a proposed N7.13bn investment by FPNG Co-Nvest Limited through a private placement.
The proposed transaction would give the investor a controlling 50.1 per cent stake in the company if completed, making the outcome of the court case important to the insurer’s recapitalisation plans.
