Lagos gives residents until December 31 to obtain mandatory health insurance

The Lagos State Government has granted residents until December 31, 2026, to acquire health insurance before implementing mandatory insurance coverage starting January 1, 2027. Governor Babajide Sanwo-Olu revealed the deadline in a media statement on Tuesday, according to his Special Adviser on Media and Publicity, Gboyega Akosile.

The initiative, established under Executive Order EO/BOS/01 of 2024, mandates residents, employers, and workers to obtain coverage as part of the state's strategy to enhance healthcare access and alleviate the financial strain of medical expenses on households. During the announcement, Sanwo-Olu unveiled the Lagos Private Health Plans (LPHP), a program designed to extend coverage to salaried employees and corporate entities, complementing the existing Ilera Eko scheme for vulnerable residents and those in the informal sector.

He also emphasized that healthcare providers should prioritize stabilizing emergency patients before discussing payment or insurance matters, asserting that financial difficulties should not hinder patients from receiving urgent care.

Out of the 21 health maintenance organisations endorsing the new private health plans, it is anticipated that these partnerships will bolster collaboration between the state government and private healthcare providers. The Lagos State Government has also augmented its Health Equity Fund from N1 billion to N3 billion to broaden insurance coverage to more than 500,000 vulnerable residents unable to afford the required premiums.

Prof. Akin Abayomi, the Commissioner for Health, highlighted the rising costs of healthcare delivery due to advances in medical technology, including artificial intelligence, robotics, and modern diagnostic equipment. He argued that an inclusive insurance system is crucial to shield households from soaring medical expenses, pointing out that out-of-pocket payments strain both families and healthcare facilities.

The revised deadline succeeds an initial plan by the state government to enforce mandatory health insurance in the third quarter of 2025. The policy originates from an executive order signed by Sanwo-Olu in July 2024. In Lagos, private health maintenance organisations have insured 1.18 million residents, the largest number recorded by any state in Nigeria, accounting for over half of the 2.17 million enrollees nationwide in private HMOs, underscoring the market's size and significance.