UCA’s accumulated losses reach 54.7% of capital in Q1

In a statement published on Tadawul, UCA cited the accumulated losses to a decline in insurance revenues, as well as increasing general and administrative expenses and insurance service costs.

The company affirmed that it will continue to examine pricing adequacy to the best of its ability to maintain premiums above the actuarially suggested rates for medical and auto insurance lines. In addition to significantly reducing losses from individual auto insurance.

Moreover, it will develop a business plan focused on growing profitable segments such as general insurance, corporate medical, and motor insurance.

UCA assured to implement cost-reduction initiatives to cut general and administrative expenses.

It will introduce new general insurance products and offer them to customers through direct sales channels and brokers.

Also, it will leverage technology solutions to enhance control over motor claims management.

UCA will boost digital sales through the company’s website to improve cost efficiency.

The company noted that the deadline for the board of directors to announce its recommendations regarding the accumulated losses is July 7, 2025. Meanwhile, the last date for the board to call for an extraordinary general meeting (EGM) to consider the company’s continuity is Nov. 4, 2025.

UCA will comply with the procedures and instructions for companies whose shares are listed on the Saudi Exchange (Tadawul) and whose accumulated losses amount to 20% or more of the capital.

According to data available on Argaam, the company incurred losses of SAR 23.3 million by the end of the first quarter of 2025, compared to profits of SAR 5 million during the same period in 2024.