Saudi Arabia: All insurance sales jobs to be localised from April 2024
Source: Middle East Insurance Review | Jan 2024
The Insurance Authority (IA) has issued a decision to localise all sales positions in the insurance industry starting on 15 April 2024.
In a statement issued last December, the IA said, “This decision is based on the aim to support and enhance the effectiveness of the insurance sector, as well as to support and empower national competencies and capabilities in the insurance industry.”
The decision is in accordance with the IA’s mandates and powers to regulate insurance activities in Saudi Arabia and to oversee and supervise them.
Non-specialised sales employees will not be granted any commissions related to sales.
The IA will monitor the implementation of the localisation decision from the date of its issuance until the localisation target is achieved. This is done in line with the supervisory and regulatory roles in the insurance sector.
The IA said, “The decision to localise the sales sector is anticipated to exert a substantial impact, not only on the sector itself but also on the overall nitaqat (Saudisation) rates within the Kingdom. This move is poised to foster the development of specialised national competencies with a vested interest in the insurance sector. Consequently, it is expected to enhance overall performance standards and elevate the quality of services delivered in the industry.”