Saudi Arabia: Foreign players unlikely to enter market, says insurance committee member
Source: Middle East Insurance Review | Oct 2015
The probability that new investment will enter the Saudi insurance sector is very low as large foreign companies are unlikely to find the Saudi insurance market attractive, according to Mr Abdulaziz Abu Al-Saud, a member of the National Insurance Committee of the Saudi Council of Chambers.
Mr Abu Al-Saud also cited a saturated local market with 35 insurance companies operating in it as a reason for the lack of interest by foreign companies, reported the Makkah newspaper. He indicated that the optimal number of insurers in the Saudi insurance market is 15.
Another deterrent is insurance pricing, which remains low despite the enforcement of the independent actuarial pricing.