Oseni, B M2023-05-302023-05-302021-09-01B M OseniRUIN PROBABILITY OF INSURANCE COMPANIES IN NIGERIA USING MODEL WITH ECONOMIC ENVIRONMENT: PRE AND POST CAPITALIZATION ANALYSIS, .Journal of Fundamental and Applied Sciences.VOL13 N03.01/09/2021.university of el oued [visited in ../../….]. available from [copy the link here]http://dspace.univ-eloued.dz/handle/123456789/25068ArticleThe behavior of the reserve of insurance firms in Nigeria from 1996 to 2011 is investigated using ruin model with economic environment. The investment po rtfolios are classified according t o the types of returns expected: Investments with fixed returns and investments with stochastic returns. Against the usual ways of monitoring the performances of insurance companies using regression and correlation, a ris k reserve model in economic environ ment is used. The ruin probability is determined from the integro differential equation for the model. The results show that there has been a positive growth in the reserve before recapitalization, though the rate of grow th of the reserve after recapitaliz ation is higher. The total probability of ruin shows that there is a drop in the probability of ruin after recapitalization. Also, the ruin probabilities show that companies are more liable to get ruined from investment t han from claims after the recapita lization against the converse before recapitalization.enReserve, Stochastic returns, fixed returns, Ruin probability, recapitalization.Article