Saudi Reinsurance Market Attracts Foreign Investors
Riyadh: Saudi Arabia has become an attractive market for international players in the insurance and reinsurance sector, with rising interest from foreign companies entering the Kingdom.
The Saudi Insurance Authority is currently engaging discussions with about four foreign companies considering entry into the reinsurance market.
This was revealed by the Authority's Chairman, Naji Al-Tamimi, during an interview with Asharq on the sidelines of the Global Insurance Conference and Exhibition.
According to Al-Tamimi, the reasonable regulatory framework and excellent digital infrastructure have made the Saudi market inherently attractive.
He emphasized that the Authority encourages international investors and branches of foreign companies to participate in the market.
Al-Tamimi further highlighted that Saudi Arabia is progressing towards implementing the Risk-Based Capital (Capital Regime) starting January 2027, after a pilot phase in 2026.
This move aims to enhance companies' underwriting capacity based on risk and bolster the sector's global attractiveness.
Additionally, it was mentioned that the sector plans to double its workforce from 18,000 to 39,000 individuals in the coming years.
The Saudi insurance market witnessed a growth of more than 17 percent in 2024, with the penetration rate reaching approximately 2.6 percent.
The country aims to double its premium value by 2030, as stated by the Chairman of the Authority's Board of Directors, Abdulaziz Al-Bouq during the conference.
Riyadh Reinsurance Co.'s CEO, Fahd Al-Husni, expressed in an interview with Asharq that Saudi Arabia's reinsurance sector is appealing to international companies.
He highlighted that the local reinsurance market size is expected to reach SR20 billion by 2030.
Riyadh Re announced its official launch at the Global Insurance Conference and Exhibition after obtaining the final license from the Insurance Authority, marking the addition of a new player in the sector alongside Saudi Reinsurance Co.
Al-Husni mentioned that Riyadh Re was established with a capital of SR550 million ($146.6 million), with plans to increase it to SR800 million within four years to support growth.
The company aims to allocate 60 percent to 40 percent of its focus towards the local market in the first two years, before expanding outside the Kingdom.
In a similar context, the CEO of Cooperative Insurance Company stated that his firm is awaiting necessary regulatory approvals to launch its reinsurance activities as part of its strategic growth plan and expansion in core businesses.
This was revealed by the Authority's Chairman, Naji Al-Tamimi, during an interview with Asharq on the sidelines of the Global Insurance Conference and Exhibition.
According to Al-Tamimi, the reasonable regulatory framework and excellent digital infrastructure have made the Saudi market inherently attractive.
He emphasized that the Authority encourages international investors and branches of foreign companies to participate in the market.
Al-Tamimi further highlighted that Saudi Arabia is progressing towards implementing the Risk-Based Capital (Capital Regime) starting January 2027, after a pilot phase in 2026.
This move aims to enhance companies' underwriting capacity based on risk and bolster the sector's global attractiveness.
Additionally, it was mentioned that the sector plans to double its workforce from 18,000 to 39,000 individuals in the coming years.
The Saudi insurance market witnessed a growth of more than 17 percent in 2024, with the penetration rate reaching approximately 2.6 percent.
The country aims to double its premium value by 2030, as stated by the Chairman of the Authority's Board of Directors, Abdulaziz Al-Bouq during the conference.
Riyadh Reinsurance Co.'s CEO, Fahd Al-Husni, expressed in an interview with Asharq that Saudi Arabia's reinsurance sector is appealing to international companies.
He highlighted that the local reinsurance market size is expected to reach SR20 billion by 2030.
Riyadh Re announced its official launch at the Global Insurance Conference and Exhibition after obtaining the final license from the Insurance Authority, marking the addition of a new player in the sector alongside Saudi Reinsurance Co.
Al-Husni mentioned that Riyadh Re was established with a capital of SR550 million ($146.6 million), with plans to increase it to SR800 million within four years to support growth.
The company aims to allocate 60 percent to 40 percent of its focus towards the local market in the first two years, before expanding outside the Kingdom.
In a similar context, the CEO of Cooperative Insurance Company stated that his firm is awaiting necessary regulatory approvals to launch its reinsurance activities as part of its strategic growth plan and expansion in core businesses.
