Saudi Arabia: SAMA launches public consultation on draft revised motor insurance rules
Source: Middle East Insurance Review | Nov 2023
The Saudi Central Bank (SAMA) has launched a public consultation exercise on draft amendments to the comprehensive motor insurance rules.
The amended rules aim to expand motor insurance coverage to include relatives, private drivers and others sponsored by the insured. The amendment limits the scope of the coverage to individual clients only, granting corporate clients greater flexibility to customise insurance coverages and benefits according to their specific needs, said SAMA.
The proposed revision to the rules is part of SAMA’s continued efforts to develop and support the insurance sector’s growth by providing insurance products that meet market needs.
Meanwhile, the traffic department has started the automatic monitoring of motor insurance on 1 October. The monitoring applies directly to all vehicles on the roads and in all cities and governorates across Saudi Arabia.
The traffic law stipulates that the lack of valid vehicle insurance is a violation that requires a minimum fine of SAR100 ($26.67) and a maximum of SAR150.
Violations are monitored electronically once every 15 days if a vehicle lacks valid insurance. M