Insurance
From The Report: Saudi Arabia 2018
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These have been profitable times for the Saudi insurance sector, although bumpy ground in the economy overall has made the growth of premiums more challenging. The sector is undergoing a significant overhaul as a stronger regulatory framework is progressively implemented and enforced, and moves to consolidate the market are in progress. Developments in the health segment continue to look promising after a recent expansion of compulsory health insurance while further widening to include more of the domestic population in obligatory schemes was witnessed 2017.

This chapter contains an interview with Abdulaziz Al Boug, CEO, Tawuniya.

Articles from this Chapter

Overview

Protecting a nation: Various lines grow out of necessity and government rulings
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These have been profitable times for the Saudi insurance sector, although bumpy ground in the economy overall has made the growth of premiums more challenging. The sector is undergoing a significant overhaul as a stronger regulatory framework is progressively implemented and enforced, and moves to consolidate the market are in progress. Meanwhile, developments in the health segment continue to look promising after a recent expansion of compulsory health insurance. Further widening to include…

Analysis

Vital signs: Compulsory coverage has boosted the health insurance segment, while new regulations stand to change the market make-up
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Health cover accounts for around half of the Saudi insurance market, with gross written premiums (GWPs) from this segment worth SR18.65bn ($5bn) in 2016. The health line of business has benefitted enormously in recent times from the expansion of the Kingdom’s medical services, as well as the introduction of statutory requirements for health insurance. These have been rolled out in a phased manner over the last handful of years, with 2017 seeing the final stage of this process. Line Size According…

Interview

Comprehensive coverage: Abdulaziz Al Boug, CEO, Tawuniya, on evolving dynamics in the Saudi insurance market
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Interview:Abdulaziz Al Boug How will the introduction of tighter regulations impact the operational models of Saudi insurers? ABDULAZIZ AL BOUG: The regulated insurance market in Saudi Arabia started in 2003 with the issuance of the Law on Supervision of Cooperative Insurance Companies. The Saudi Arabian Monetary Authority (SAMA) is taking an active role in the industry, and this is helping to lead the market towards higher levels of maturity and improvement. Insurance companies are now…

Analysis

A new lease on life: Policy providers are considering new ways to improve life insurance take-up
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Although Saudi Arabia has the largest insurance market in the GCC by far, its life segment remains underdeveloped. However, the years ahead may see greater focus on the line. Once life insurance begins to take off it should yield impressive results, as the Kingdom has both the volume and the wealth to be a good fit for this type of coverage. P&S Given Saudi Arabia’s cooperative insurance model, the entire industry must be sharia compliant. This requirement makes the Kingdom the largest…