The Insurance Authority‘s CEO Engineer Naji Al Tamimi outlined key developments in the Saudi insurance market—and the direction in which the industry is heading—in an exclusive interview with Middle East Insurance Review (MEIR) on the sidelines of the inaugural ingate Global Insurance Conference & Exhibition held on 10-12 November 2025.
Eng. Al Tamimi said, “The Saudi Arabian insurance industry has achieved remarkable progress in record time, as it stands today as the largest in MENA with broad horizons of strong growth ahead.”
The Kingdom’s vision extends beyond domestic ambitions, as it continues advancing on its path to becoming a model insurance market for the region and a centre of attraction for international players.
In its endeavour to build a sound insurance environment, the Insurance Authority continues to make notable progress in building the necessary tools for sustainable market development in line with the Saudi Vision 2030.
Increasing market capacity
One of the Insurance Authority’s goals is to increase the market capacity to meet the needs of rapid development in the Kingdom, as well as to enhance market performance standards, said Eng. Al Tamimi.
“We aim to expand the insurance capacity in the country to provide the products we need. We also seek to address the needs of the local market, given the significant expansion in infrastructure and mega projects that also require the expertise of international players. This will allow us to acquire knowledge and increase the capital of local companies and create a dynamic market at both the local and regional levels. Our goal is to achieve global standards.”
New capital regime: Implications for the industry
The Insurance Authority is moving forward to implement the risk-based capital (RBC) regime to replace the existing solvency regime, to elevate the level of the insurance industry and professionalism.
Speaking to participants on 10 November 2025—the first day of the “ingate” Conference, Eng. Al Tamimi affirmed that there would be a gradual implementation of the RBC regime. In 2026, both regimes (risk-based capital and solvency) will run in parallel. Following the transitional phase in 2026, the capital framework will shift completely to the RBC system at the start of January 2027.
“Through this decision, we aim to strengthen the culture of risk management. This shift gives companies greater scope to enhance and invest in these areas, and creates more opportunities for actuaries to play a vital role, particularly as our pricing has seen significant sophistication,” Eng. Al Tamimi told MEIR.
He added that adopting the RBC regime will bring the Saudi insurance industry closer to global practices. This, in turn, facilitates the movement of international investors and their integration into the insurance market in the region, of which the Kingdom is a major component. “This is the primary driver in building and entrenching a culture of risk management, ensuring that companies allocate capital appropriately in relation to their underwriting risks.”
He pointed out that the new framework is also expected to boost knowledge acquisition, attract more capital into the market, increase innovation and reduce the industry’s heavy reliance on reinsurance.
“Linking capital to written risks will raise the efficiency of (re)insurance underwriting in the Kingdom,” he said.
Another expected positive outcome of implementing the RBC regime is improved net income for insurance companies. “The regime will contribute and lead to an emphasis on profitability regardless of capital size. Some companies may focus on a limited number of specific products (operating in a niche market) and achieve the required profitability, instead of writing numerous lines of business in unplanned expansion.”
He added, “Consequently, we will have mature specialised companies, leading to a stronger marketplace.”
Market maturity: Strengthening the foundations
The Insurance Authority sees a much more advanced Saudi insurance industry over the next five years, said Eng. Al Tamimi. “In pursuit of market maturity, we envision ourselves in a completely different place by 2030. Therefore, we have been working diligently on the fundamental enablers, namely, the new Insurance Law, which is currently being deliberated by government decision-makers. This is a crucial matter.”
The draft law has undergone the necessary scrutiny and analysis, said Eng. Al Tamimi. “Proposed amendments have been circulated to market operators for feedback, and many suggestions have been incorporated in the final draft, currently under review.
“The new insurance law, when passed, puts in place the essential foundations for governing relationships among market actors. It will be followed by regulations that will govern the sector’s operations in a way that serves the best interests of policyholders and insurance service providers across all sectors.”
Investing in technology for a disciplined marketplace
Another essential focus for the Insurance Authority is the development of advanced technology systems, said Eng. Al Tamimi. “The Insurance Authority has focused on and invested heavily in technology and data,” he said.
At the ingate Conference, the Insurance Authority announced the launch of the “RegTech Hub” initiative, one of the Authority’s flagship strategic projects, as a central repository for collecting and analysing big data across the sector.
Eng. Al Tamimi said, “The RegTech Hub allows us to monitor everything happening within insurance companies through effective connectivity. This gives us insights into underwriting processes and operating expenses, claims and pricing. We aim to ease the burden on insurance companies as well, where, instead of requiring specific performance reports from them, the data becomes readily available through this Hub.
“Furthermore, integrating big data with advanced technological tools like Artificial Intelligence will allow us, in the future, to identify market needs and any problems that may arise for any player in the sector, and to address issues for policyholders in real time. We also introduced today the necessary technological tools and AI mechanisms that can extract all the answers related to certain issues and performance statistics/reports for the required periods.”
The ingate Conference: A new milestone
The Insurance Authority’s objective is for the ingate Conference to be a world-class event, said Eng. Al Tamimi. “It is the first of its kind in the Kingdom and the region. We aspire to bring together all stakeholders, including insurance and reinsurance companies, brokers, consultants, and other financial technology companies. This event aims to unite them and share the latest developments. Significant exchange of knowledge and expertise between markets is facilitated at this type of conferences.”
According to the Insurance Authority, this inaugural ingate Conference, themed “Step into tomorrow”, attracted 9,461 visitors and participants representing over 150 local and international entities. The event held 40 panel discussions and workshops and witnessed the signing of 42 agreements, the launch of new market initiatives and announcements of the licensing of four new operators, including a locally incorporated reinsurance company. M