According to RNCOS, motor insurance holds the largest position and signifies a prominent future outlook compared to other sub-segments in general insurance. In 2010, motor insurance gross premiums constituted a share of 48.2% in general insurance sector and registered around 3% growth rate. The growth was primarily driven by the compulsory component of motor insurance. Limited public transport services, cheap subsidized fuel, and relative wealth also provided the extra thrust for rapid growth of motor insurance in the Kingdom. As such, on the ground of all these favorable factors, motor insurance gross premium is expected to grow at a CAGR of around 14% during 2011-2015.
Further, the potential of the reinsurance industry in Saudi Arabia is significant as most local insurance companies rely heavily on reinsurance. As a result of shortage of underwriting skills, the insurers are forced to reinsure a significant amount of policies if not all. The general premium ceded in 2010 accounted for around 43% of the general gross premium. Moreover, Saudi Arabia has become a potential market for takaful insurance i.e. likely to grow in future also. Currently, the country holds top position in the global takaful insurance market and the compulsory medical insurance requirements will propel the domestic sector.
The report, “Saudi Arabia Insurance Market Analysis”,
acquaints clients with an in-depth insight on the current performance of the insurance industry in Saudi Arabia. The segment-wise market potential of the insurance industry facilitates a better analysis of the penetration level of insurance services. Our report dissects each and every factor contributing to the rising attractiveness of the Saudi Arabian Insurance industry, together with regulatory environment and providing brief overview of the key industry players like National Company for Co-operative Insurance, BUPA Arabia, etc.
Check Related REPORTS on: http://www.rncos.com/Banking&Insurance.htm