Section 25: Investment.

(1) An insurer shall at all times in respect of the insurance transacted by it in Nigeria, invest and hold invested in Nigeria assets equivalent to not less than the amount of policy holder's funds in such accounts of the insurer.
(2) Subject to the other provisions of this section, the policy-holders' funds shall not be invested in property and securities except;
(a) shares of limited liability companies;
(b) shares in other securities of a co-operative society registered under a law relating to co-operative societies ;
(c) loans to building societies approved by the Commission;
(d) loans on real property, machinery and plant in Nigeria ;
(e) loans on life policies within their surrender values;
(f) cash deposit in or bills of exchange accepted by licenced banks; and
(g) such investments as may be prescribed by the Commission.
(3) No insurer shall-
(a) in respect of its general insurance business, invest more than 35 per centum of its assets as defined in subsection (1) of this section in real property; or
(b) in contract of its life insurance business, invest more than 35 per centum of its assets as defined in subsection (1) of this section in real property.
(4) An insurer which contravenes the provisions of this section commits an offence and is liable on conviction to a fine of N50,000.
(5) In this section, references to real property include references to an estate in land, a lease or a right of occupancy under the Land Use Act.