New regulatory criteria announced by Saudi Arabia's Insurance Authority for motor insurance pricing should strengthen underwriting discipline, reduce excessive price competition and support the long-term sustainability of the motor insurance segment, Moody's Ratings (Moody's) says.
Regulatory frameworks, financial literacy and distribution infrastructure continue to evolve in Africa, creating significant opportunities for future growth of takaful, according to Moody's Ratings.
The authorities have formed a specialised technical committee for pricing coverage offered by the Saudi Pool for Marine War Risk Insurance, according to Mr Tariq bin Ali Al-Fayez, Chairman of the National Insurance Committee at the Federation of Saudi Chambers.
The Saudi Insurance Authority will launch a more open approach towards data, in parallel with the implementation of the Risk-Based Capital (RBC) system, which would begin in January 2027. These moves will position the Saudi insurance industry for a new phase of growth and investment.
The motor insurance branch in Saudi Arabia fell short of breaking even in the first quarter of 2026, despite the significant increase in policy prices in recent months.
The Insurance Authority confirmed that it is reviewing the vehicle insurance pricing mechanism to ensure that insurance companies comply with regulatory standards, and to ensure fair and reasonable prices, according to a statement on its website.
The Saudi Insurance Authority has said that the scope of insurance coverage for drivers varies according to the motor insurance policy, according to a statement it published yesterday.
The Insurance Authority has signed a cooperation agreement with HUMAIN, which specialises in delivering integrated artificial intelligence capabilities globally.
Saudi Arabia's listed insurance sector reported a significant improvement in profitability in the first half of 2026 compared following an exceptionally weak 1H2025, Moody's Ratings said in a report released earlier this week.
The underwriting performance of Al Sagr Cooperative Insurance Company improved in 1H2026, with a combined ratio of 100.9%, after a sharp deterioration in 2025 (combined ratio: 111.1%), Fitch Ratings said. This compares with strong underwriting performance in 2023 (96%) and 2024 (94%).