The 22-year-old, who returned to his home-town club ahead of the 2012/13 season after prolific loan spells at Foggia Calcio and Pescara Calcio, scored five goals in 37 Serie A appearances last term.
“This morning I met Insigne and we signed a new five-year contract,” announced Napoli president Aurelio De Laurentiis. “I wish ‘Lorenzinho’ to have a great career with Napoli.”
Already capped twice at senior level, Insigne helped Italy reach the final of the 2013 European Under-21 Championship in the summer, scoring once in four appearances in Israel. He then came off the bench as Napoli began their Serie A campaign with a 3-0 win against Bologna FC on Sunday. Napoli will find out their group stage opponents at the Champions League draw in Monaco on Thursday.