RIYADH, SAUDI ARABIA– The Insurance Authority (IA) has issued its first report on the performance of the sector in the Kingdom for the third quarter of 2023, highlighting the developments, financial results and its contribution to the Kingdom’s gross domestic product (GDP).
The report was issued to provide transparent, accurate and up-to-date information about the performance of the insurance sector.
According to the report, there has been a 14.6 percent growth of gross written premiums (GWP) in Q3 of 2023, which reached US$3.9 billion (SAR14.9 billion) compared to US$3.4 billion (SAR13 billion) in Q3 of 2022, with motor, health and property insurance segments contributing to this increase.
The report showed a 2.2 percent increase in the insurance sector’s penetration ratio to non-oil GDP in Q3 of 2023, compared to 2.1 percent in Q3 of 2022, attributed to the GWP increase.
The overall loss ratio decreased from 81.6 percent in Q3 of 2022 to 80.7 percent in Q3 of 2023.
According to IA, the sector’s net income reached US$231 million (SAR869.6 million) in Q3 of 2023, compared to US$98 million (SAR370.6 million) in Q3 of 2022, due to the increased insurance services, from US$68 million (SAR255 million) in Q3 of 2022 to US$184 million (SAR693.2 million) in Q3 of 2023.
The net investment income increased from US$83 million (SAR314 million) to US$145 million (SAR543.9 million).
The authority posts the Saudi insurance market report on its official website.