Saudi Arabia has authorised the Nationwide Insurance coverage Sector Technique following a Cupboard choice, marking a key milestone within the Kingdom’s efforts to strengthen insurance coverage safety, develop a sustainable market and assist nationwide financial stability consistent with Imaginative and prescient 2030.
The approval was welcomed by Abdulaziz bin Hassan Al-Boug, Chairman of the Board of the Insurance coverage Authority, and Eng. Naji Al-Faisal Al-Tamimi, CEO of the Insurance coverage Authority, who expressed their appreciation to the Kingdom’s management for endorsing the technique.
Al-Boug prolonged his gratitude to the Custodian of the Two Holy Mosques, King Salman bin Abdulaziz Al Saud, and to Prince Mohammed bin Salman bin Abdulaziz Al Saud, Crown Prince, Prime Minister, and Chairman of the Council of Financial and Improvement Affairs.
He mentioned the approval displays the continued and unwavering assist the insurance coverage sector receives from the Kingdom’s management.
Saudi insurance coverage sector
Al-Boug highlighted the institution of the Insurance coverage Authority as a pivotal milestone, by way of which the authority developed the Nationwide Insurance coverage Sector Technique to unlock the sector’s full potential and place the Saudi insurance coverage market among the many world’s fastest-growing and most superior.
He defined that the technique is constructed round three core strategic targets: strengthening insurance coverage safety for folks and companies, growing a sustainable and environment friendly insurance coverage market, and enabling protection for national-level dangers.
He emphasised the very important function of the insurance coverage sector as a key enabler of the Kingdom’s complete improvement agenda, supporting financial progress, enhancing safety mechanisms and reinforcing nationwide financial stability.
Al-Tamimi additionally expressed his appreciation to the management for approving the technique, describing it as a foundational pillar in reaching the aims of Imaginative and prescient 2030 and the Monetary Sector Improvement Program.
He mentioned the technique will function a complete roadmap guiding the Saudi insurance coverage sector over the approaching years, strengthening safety frameworks, reinforcing financial stability and supporting sustainable improvement consistent with the Kingdom’s international financial standing.
Addressing the important thing enablers underpinning the technique, Al-Tamimi mentioned the Insurance coverage Authority will work carefully with companions and stakeholders by way of a structured framework comprising 11 strategic and enabling programmes and 72 initiatives.
These initiatives are designed to ship 9 strategic guarantees aligned with Imaginative and prescient 2030 and signify probably the most important anticipated outcomes of the technique.
Insurance coverage targets
Among the many most distinguished commitments outlined within the technique are increasing the scale of the insurance coverage market, growing insurance coverage penetration in non-oil GDP to three.6 per cent by 2030, doubling risk-based capital, bettering retention charges in property and casualty insurance coverage, increasing medical health insurance protection to 23 million beneficiaries, growing the variety of insured automobiles to 16 million, and creating further employment alternatives for nationwide expertise throughout the insurance coverage sector.
The event of the Nationwide Insurance coverage Sector Technique is among the core mandates of the Insurance coverage Authority, which was established below Cupboard Decision No. 85 dated August 15, 2023, with assist from the Monetary Sector Improvement Program.
