Reinsurance Underwriting in Nigeria: Treaty, Facultative and Programme Review

A reinsurance enquiry should identify the portfolio or risk, the protection sought and the decision the review must support. Treaty and facultative arrangements are different, and a broad request for “reinsurance capacity” does not give the responsible professionals enough information.

Wigmore Trading welcomes risk-information preparation and coordination enquiries in Nigeria. We can discuss the required project and specialist roles. This page does not offer reinsurance capacity, placement, binding authority or a reinsurer commitment.

Define the proposed arrangement

State the class of business, territories, period, exposure and existing programme where relevant. Identify whether the work concerns a portfolio treaty, a particular facultative risk or a review of an existing arrangement.

Use consistent portfolio information

Document data definitions and reconcile exposure and claims periods. Explain changes in underwriting, limits, business mix and claims handling. A loss history without the corresponding exposure can mislead a programme assessment.

Identify gaps rather than silently replacing them with optimistic assumptions. Catastrophe and accumulation analysis may need specialist models and location information; a general spreadsheet is not automatically sufficient.

Compare the protection sought

Ask the responsible reinsurance professionals to explain the proposed structure, attachment, limits, exclusions and contractual obligations. Pricing should be assessed against the actual risk and terms, not as a universal percentage of premium.

Review how the arrangement interacts with the original policies and the institution’s retention. A programme described as broad protection can still contain conditions or gaps relevant to the portfolio.

Verify counterparties and responsibilities

Establish the authorised insurer, reinsurer and intermediary roles and any relevant cross-border requirements. Consult the current NAICOM reinsurance guidance and addenda with the institution’s compliance advisers.

Separate analytical or administrative support from regulated placement and underwriting decisions. A proposal to review the programme does not establish that anyone has agreed to accept the risk.

Set a practical review scope

Specify the information request, analysis, meetings, report and intended users. Identify who reviews technical assumptions and who can rely on the findings. Programme assessment, underwriting, actuarial pricing and audit are different assignments.

For renewal, allow time to resolve incomplete data and material questions. A target date is not a guarantee of terms, capacity or approval.

Can a review guarantee lower reinsurance cost?

No. Cost depends on exposure, terms, market conditions and provider assessment. The objective should be a supported comparison and clear understanding of protection.

What should I send Wigmore?

Provide a non-confidential description of the institution, class, review purpose and timetable. Detailed exposure and claims files should follow an agreed controlled process.

Related underwriting guides

• Commercial Insurance Underwriting in Nigeria: Proposals, Pricing and Cover Review
• Insurance Underwriting Governance in Nigeria: Controls, Portfolio Review and Teams
• Energy, Construction and Transport Insurance in Nigeria: Underwriting Preparation
• Underwriting Services in Nigeria: Insurance, Financial and Support Roles

Prepared 4 November 2026. This guide does not establish a lending or insurance decision, a regulated appointment, bound cover, a funding commitment or a professional opinion.