The National Health Insurance Authority (NHIA), has reported that Nigeria’s health insurance coverage increased by 40% in the last year, to 19.2 million enrollees in 2024 from 16.7 million, marking a significant milestone that exceeds presidential expectations. This notable progress reflects the government’s commitment to attaining universal health coverage (UHC) and guaranteeing fair access to healthcare for all residents. A major contributing factor to this rise has been the government’s proactive marketing of health insurance.
Speaking in Abuja, NHIA Director-General Dr. Kelechi Ohiri described efforts to enhance healthcare service and emphasised goals for an additional 20% enrollment increase in 2025. These include attempts to foster trust, higher capitation rates, improved financial protection for disadvantaged populations, and regulatory compliance. The government has positioned health insurance as a vital remedy for establishing an inclusive and sustainable system in recognition of the inefficiencies in the present healthcare delivery paradigm. The increased coverage has been facilitated by targeted programs including the Basic Health Care Provision Fund (BHCPF), partnerships with commercial health management organizations (HMOs), and public awareness campaigns.
Consumers are becoming more aware of insurance value.
Recognising the revolutionary effect that health insurance programs can have on the healthcare system, the government has made a commitment to providing it. The recent rise was also fueled by the NHIA’s implementation of initiatives aimed at increasing insurance accessibility for vulnerable groups. It sees health insurance as a more sustainable funding model to lower out-of-pocket costs, enhancing access to care. To ensure inclusivity, NHIA seeks to increase insurance access to emergency obstetric and neonatal care and work with the National Pension Commission to offer retirees coverage.
Under its mandate, the agency envisions that all Nigerians, regardless of their socioeconomic background, should have access to the healthcare system. On the other hand, consumers in Nigeria are becoming more aware of the value of health insurance in supplying monetary Security against unforeseen medical costs. More people and families are seeking comprehensive health insurance coverage to guarantee access to high-quality healthcare services as a result of expanding middle-class populations and rising healthcare expenditures. The recent increase is consistent with Statista’s projections, which expect the industry to develop significantly over the next several years.
Growing demand for health insurance services.
As per the forecast, the market size is expected to reach US$60.97 million in 2024, as determined by gross written premium, and the average cost of health insurance per person is estimated to be US$0.27 in 2024. This figure illustrates the amount of money people are prepared to spend in order to obtain market coverage for health insurance. This consistent expansion is a result of Nigeria’s growing demand for health insurance market services.
A major lingering problem is the inclusion of the informal sector, which employs a sizable percentage of Nigerians. With many people in this group either lacking awareness, access to health insurance programs or cannot afford the premium, there is a sizable gap that needs to be filled. Looking ahead to 2025, the NHIA has tremendous work to guarantee that every Nigerian has access to health insurance by 2025. Among the planned approaches to boost inclusion are increasing the number of people enrolled in state health insurance programs, including workers from the unorganized sector into the system, and using digital platforms.
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These initiatives aim to create a more effective and inclusive insurance system that supports the government’s goal of universal health care. With sustained efforts, strategic investments, and collaborative partnerships, the country is well-positioned to meet its 2025 targets and provide the groundwork for a more just and healthy future. At the same time, the NHIA’s initiatives to increase health insurance coverage have the potential to drastically boost Nigeria’s healthcare system, enabling millions of people to obtain high-quality care and moving the nation closer to its 2025 universal health coverage targets.