IA Chairman: Saudi insurance sector poised to double in size within 5 years

Abdulaziz Al Boug, Chairman of the Insurance Authority (IA)

Saudi Arabia’s insurance market has robust growth opportunities, with expectations the size of the market and insurance premiums to double within the next five years, said Abdulaziz Al Boug, Chairman of the Insurance Authority (IA).

Speaking to Argaam on the sidelines of the Global Insurance Conference and Exhibition in Riyadh, Al-Boug said that the authority is working on a new insurance law and has completed the initial reviews, adding that it is forward-looking and aligned with the expected growth and expansion of the market.

He revealed that the authority is implementing more than 72 initiatives to develop the sector and attract investments, emphasizing that the local market is promising and appealing to both domestic and international investors due to the vast opportunities across all insurance segments.

Al Boug also stressed that digital transformation is a fundamental pillar in developing the insurance industry, as the authority is working on launching a centralized data platform that will enhance transparency and improve operational efficiency for insurers.

The market is witnessing notable interest from Insurtech firms, with the authority receiving more than 15 applications from startups seeking support, said the Chairman. He added that the number of digital brokers continues to grow, with some of them becoming publicly listed companies on the financial market.

Al-Boug also emphasized that IA is working to prepare a legislative and regulatory environment capable of embracing this growth and digital transformation, expressing optimism about the future of the insurance sector in Saudi Arabia and its ability to become a major contributor to the national economy.

Regarding the launch of the Global Insurance Conference in Riyadh, the top officil described it as a historic milestone and the first of its kind in the Kingdom, describing it as forming the foundation of a global platform for dialogue and industry development.

The conference features wide participation, with more than 7,000 visitors, 100 speakers from around the world, and the global "Ingate" exhibition with numerous exhibitors — a reflection of the growing momentum the sector is witnessing locally and internationally, Al Boug added.

He explained that the conference covers all aspects of the industry, including regulations, technology, and reinsurance, noting that it will become an annual platform for advancing the insurance sector in the Kingdom and the broader region.