Nine months into 2026, listed Saudi insurers delivered their strongest set of results since the 2025 downturn, with profit after zakat rising 19% to SAR2.3bn ($611.7m), compared to the corresponding period in 2025, according to the international actuarial and risk consulting company, BADRI Management Consultancy.
In its “KSA Listed Insurance Industry Performance Analysis 2026 Q3” report, based on interim financial reports of the listed insurers, BADRI said that the improvement was due to real underwriting progress rather than one-off gains.
Insurance revenue grew by 16% year on year to SAR59.1bn and insurance service results rose by 20% to SAR2.2bn in the first three quarters of the year, as the motor repricing that began in early 2025, after the price war that ran from September 2023 through 2024, continued to generate higher average premiums.
BADRI said that the third quarter of this year offered the clearest sign yet that the recovery is taking hold. Much of the first-half weakness, which was concentrated in large General and Motor claims, eased over the quarter.
The line-up of the market’s top five insurers is a good illustration: the combined insurance service result, down 4% at the half-year, finished the nine months with an increase of 3% as Motor moved back toward breakeven and reinsurance recoveries came through. The more telling shift came from outside the top names, as the smaller and mid-sized insurers narrowed their combined insurance service loss by roughly 56%, with the single biggest turnaround coming from a mid-sized players.
Profitability
Even so, profitability remains concentrated among a handful of leaders. The five largest insurers earned close to SAR2.45bn, up by 4% year on year, while the rest of the market moved from a combined loss of SAR440m to a narrower SAR170m. The order at the very top shifted, with large insurers edging ahead on bottom-line profit, while mid-tier players significantly grew their earnings on the back of firmer Medical and Motor margins. Yet, eight of the 23 listed insurers were still loss-making, only one fewer than a year earlier, a reminder that the recovery has not yet reached the bottom half of the market.
Investment income contributed a further SAR2.1bn, up by 7%, and remains a useful cushion, but it is no longer the swing factor it was in 2025. With the market’s weighted combined ratio steady at 96%, the distance between the stronger and weaker insurers is now determined almost entirely by underwriting discipline.
The trajectory of the financial performance of the listed insurers is more constructive than at any point in 2025. Motor pricing corrections are producing measurable results, Medical continues to carry industry earnings, and underwriting is stabilising. However, the risks are just as visible. Rising repair costs and the familiar temptation to discount into the September renewal season could quickly erode hard-won pricing gains.
Whether the recovery broadens into something durable over the remainder of 2026 will depend on the market holding its pricing discipline, particularly in Motor and SME Medical, and converting premium growth into consistent underwriting profit rather than relying on investment returns.