Lagos State has given residents, employers and workers until Dec. 31, 2026, to obtain health insurance, with enforcement of its mandatory health insurance policy set to begin on Jan. 1, 2027.

Governor flags off enforcement

Gov. Babajide Sanwo-Olu announced the deadline Tuesday while flagging off enforcement of the policy under Executive Order EO/BOS/01 of 2024 at an event in Victoria Island. The event carried the theme “Lagos Covered, a Shared Commitment, a Healthier Lagos.”

Every resident, every employer and every worker in Lagos is required to have social health insurance, the governor said, adding that the order places responsibilities on individuals, employers and government.

He announced a moratorium until Dec. 31 so that people and organizations can enroll before enforcement starts. The governor said the policy is meant to change how residents pay for medical treatment and to prevent illness from pushing families into financial hardship.

Private health plans for salaried workers

Sanwo-Olu also unveiled the Lagos Private Health Plans, designed to extend coverage to salaried workers and corporate organizations. They complement the existing Ilera Eko scheme, which serves vulnerable residents and people in the informal sector. Contributions to the private plans will support the state’s Health Equity Fund, officials said.

Licensed actuaries reviewed nearly two million claims and enrollment records to determine the cost of providing insurance for the formal sector, the governor said, and 21 health maintenance organizations have signed on.

Equity fund and enrollment targets

Adebayo Adedewe, chairman of the Lagos State Health Management Agency, said the state has increased its Health Equity Fund from 1 billion naira to 3 billion naira to cover more than 500,000 vulnerable residents who cannot afford premiums.

Health Commissioner Akin Abayomi said about 2 million Lagos residents are insured, against a target of at least 10 million, and argued that broader participation is needed to make the system sustainable.

What to expect before January

The state has set up a Lagos Private Health Plan Implementation Steering Committee and an Enforcement Task Force. Participating HMOs and the Ministry of Health are expected to roll out public sensitization campaigns on how to enroll.

The order requires residents and workers to subscribe to a social health insurance scheme, either through the state agency or an accredited private insurer. When it was issued in 2024, listed Ilera Eko premiums ranged from 5,000 naira for a higher-institution plan and 8,500 naira for the standard individual plan to 71,190 naira for the diaspora plan, according to KPMG.

The reports did not detail the penalties residents or employers could face after Jan. 1. Officials said during an earlier sensitization campaign that the state does not intend to arrest people for non-compliance.

Lagos inaugurated a health scheme enforcement team in January, and officials named enforcement leads for the executive order.