Lagos State Governor Babajide Sanwo-Olu
LAGOS, Nigeria – The Lagos State Government has launched the Lagos Private Health Partnership (LPHP), a major reform designed to overhaul health financing and accelerate the state’s push toward universal health coverage.
The initiative, unveiled on Tuesday and backed strongly by financial institutions and healthcare providers, aims to create a centralised and digitised marketplace linking insurers, facilities, regulators and financiers.
Governor Babajide Sanwo-Olu, represented by Secretary to the State Government Abimbola Salu-Hundeyin, described the LPHP as “a historic step” toward a future where no resident is pushed into poverty by medical bills.
“The partnership creates a single, digitised marketplace that protects households from catastrophic spending,” he said, noting that the reform could unlock up to ₦400 billion annually.
Health Commissioner Prof. Akin Abayomi said Lagos continues to struggle with low insurance enrolment despite being Nigeria’s economic hub. He described the LPHP as “the government’s strongest tool yet” to rebuild confidence in local healthcare and reduce medical tourism.
The reform introduces a value-based model supported by digital systems for seamless enrolment, claims processing and quality monitoring. Private insurers will contribute 13 per cent of premiums to a Solidarity Fund to support vulnerable groups.
Stakeholders, including Sterling Bank CEO Abubakar Suleiman and HCPAN’s Dr Jimi Arigbabuwo, praised the initiative. Suleiman called it “a transformative model,” while Arigbabuwo urged fair compensation for private providers.
Mandatory insurance enforcement will begin after a six-month sensitisation period.
