The Federal Government has introduced a National Flood Insurance Policy (NFIP) to provide a financial safety net for individuals, businesses, and communities frequently affected by flooding across Nigeria.
The initiative was announced on Thursday in Abuja at a Technical Committee Meeting (TCM) focused on the development and implementation of the new insurance policy, as reported by the News Agency of Nigeria (NAN).
According to the Ministry of Environment, the NFIP is designed to reduce the financial burden on federal and state governments, while also offering protection to citizens and businesses facing flood-related losses.
Speaking at the event, Mr. Mahmud Kambari, Permanent Secretary at the Ministry of Environment, represented by Mr. Kunle Awojemila, Deputy Director of Flood Erosion Control, said the policy shifts from reactive response to proactive flood risk management. He added that it aligns with Section Four of the National Erosion and Flood Control Policy, which focuses on long-term resilience.
“The Federal Government has adopted a National Flood Insurance Policy (NFIP) aimed at addressing the growing threat of flood-related disasters across the country,” the NAN report read in part.
The report further stated, “The Permanent Secretary of the Ministry of Environment, Mr Mahmud Kambari, said the policy would reduce the financial burden on both federal and state governments currently allocated to emergency relief and post-disaster reconstruction.
“He added that the NFIP would serve as a financial safety net for individuals, businesses, and communities, enabling swift recovery from flood-induced losses and ensuring long-term resilience.”
Kambari explained that the programme is designed to provide financial protection and support rapid recovery from flood-related losses. He noted that its implementation would include clearly defined timelines, assigned responsibilities, and mechanisms for effective monitoring.
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Also speaking at the event, Mrs. Rubaiyat El Rufai, Special Adviser to the President on National Economic Council and Climate Change, highlighted the urgency of the initiative.
Represented by Mrs. Inna Audu, Special Assistant to the President on Humanitarian Affairs, she pointed out that many agrarian communities along the River Benue and River Niger suffer significant damage from seasonal flooding.
- She described insurance as a preparedness mechanism rather than a post-disaster response, stressing the importance of proactive contributions to create a fund for emergencies.
- El Rufai noted that trillions of naira have been lost over the years due to floods—damaging farms, properties, and livelihoods—and while human lives cannot be quantified, financial protection can help prevent the most vulnerable from falling into deeper hardship.
- She further advocated for dedicated flood insurance schemes, explaining that general insurance policies often fail to adequately address flood-specific risks. In her view, standalone coverage would enable better risk management and facilitate long-term recovery for affected communities.
The Director of the Erosion and Coastal Zone Management Department, Mr. Usman Bokani, represented by Assistant Director Mr. Abdullahi Atta, said the national framework would guide the development of an inclusive flood insurance system, incorporating financing models, community-level delivery, risk pooling, and regulatory alignment.
