Opening of branches of foreign insurers in Saudi Arabia

The Saudi authorities are currently studying a bill to open branches of foreign insurance and reinsurance companies. Saudi Arabia does not currently have any branches of foreign insurers or reinsurers. To operate on the local market, they are forced to set up a wholly-owned subsidiary or buy back a limited stake in a Saudi company.

To guarantee the commitments of insurers wishing to open a branch, the new legislation requires the payment of a deposit ranging from 60 million SAR (16 million USD) to 200 million SAR (53.36 million USD). This amount would be higher for reinsurers.

According to the initiators of the project, this procedure should encourage foreign players to gain a foothold in the kingdom.

More news on:

Your rating: None
Advertising Program          Terms of Service          Copyright          Useful links          Social networks          Credits