Nigerian motorists are now legally permitted to present their motor insurance certificates in digital form during routine checks or accidents, according to the Nigeria Insurance Reform Act recently signed by President Bola Tinubu.
This is a major shift from the previously required hardcopy documentation, and it reflects the Federal Government’s effort to modernize insurance compliance and enforcement through digital innovation.
According to Section 96(1)(b) of the newly signed Act, drivers are allowed to produce their insurance certificate or cover note “in print or electronic form” when requested by a law enforcement officer.
This means motorists can now use their mobile phones or other digital devices to present valid insurance documents during routine checks on public roads.
Failure to comply with this provision attracts a fine of up to N25,000 upon conviction, the Act states.
Why it matters
This provision is expected to accelerate digital adoption in the insurance industry, allowing both insurers and policyholders to reduce reliance on paper-based documentation.
- It also aligns with broader efforts to integrate technology into vehicle registration, law enforcement operations, and insurance verification systems in Nigeria.
- Industry players and consumer rights advocates have long called for such modernization, citing the need for convenience, transparency, and the elimination of fake insurance documents.
- With this legal backing, motorists now have fewer excuses for not carrying valid insurance, whether in their glove box or on their smartphones.
Stronger rules in accident situations
The law also outlines procedures in the event of a road accident involving bodily harm. Subsection 3 of Section 96 of the Act states that if the driver is unable to present the insurance certificate at the scene, they are required to report the incident and provide the document at the nearest police station within 24 hours.
“A person who contravenes the provision of subsection (3) of this section commits an offence and is liable on conviction to a fine not exceeding N50,000.00.
“The provisions of this section shall be in addition to, and not in derogation of, the relevant provisions of the Road Traffic Laws,” the Act states.
Backstory
Nairametrics previously reported that President Bola Ahmed Tinubu assented to the Nigerian Insurance Industry Reform Bill, 2025, a transformative piece of legislation aimed at modernizing Nigeria’s insurance sector and accelerating the country’s journey toward a $1 trillion economy.
The Act introduces sweeping reforms, including stringent capital requirements, compulsory insurance enforcement, and digitization mandates.
- The Nigerian Insurance Industry Reform Act (NIIRA) 2025 is said to have repealed and consolidated several outdated insurance laws into a single, modern legal framework.
- The new Act provides for comprehensive regulation and supervision of all insurance and reinsurance businesses operating within Nigeria.
- The National Insurance Commission (NAICOM) is mandated to administer and implement the provisions of the NIIRA 2025 in a manner that unlocks the industry’s full potential and significantly improves insurance penetration across the country.
