The Lagos State Government will begin enforcing mandatory health insurance from 1 January 2027, giving employers, workers and residents until 31 December 2026 to obtain appropriate cover.
Governor Babajide Sanwo-Olu announced the timeline on Tuesday at the launch of the Lagos Private Health Plan (LPHP) Partnership held at the Lagos Continental Hotel, Victoria Island. The event also saw the unveiling of 21 participating Health Maintenance Organisations (HMOs) as the state pushes to broaden insurance coverage and ease the out-of-pocket burden of healthcare on residents.
The governor said the initiative rests on Executive Order EO/BOS/01/2024, signed on 16 July 2024, and is designed to ensure that access to care is no longer determined solely by an individual’s ability to pay at the point of illness.
Sanwo-Olu reaffirmed the government’s commitment to strengthening the state’s health-insurance architecture through the existing Ilera Eko scheme and the new private-sector partnership. Ilera Eko, he noted, primarily serves vulnerable residents and those in the informal sector; the LPHP was therefore developed as a complementary arrangement tailored to salaried workers and corporate organisations.
Actuarial analysis of roughly two million claims and enrolment records informed the design of the LPHP, which offers structured options for the formal sector.
To drive compliance, the governor disclosed that a Lagos Private Health Plan Implementation Steering Committee and an Enforcement Task Force have been established. He directed relevant authorities to issue operational guidelines and provide enrolment support before the grace period ends, emphasising a preference for voluntary uptake over confrontation.
“We want compliance, not unnecessary confrontation,” Sanwo-Olu said, urging employers and workers to use the transition window to select suitable plans and complete registration.
He added that the scheme would make payments to healthcare providers more predictable, improve service delivery and ease pressure on public hospitals. A portion of contributions will also feed the Lagos State Health Equity Fund and public healthcare infrastructure, extending cover to residents who cannot afford insurance.
The governor assured stakeholders that the state will closely monitor participating HMOs, focusing on prompt provider payments, timely claims settlement and guaranteed access to appropriate medical care.