National insurance for lifetime, no coverage cap; private insurance to rise 5x: Minister

Minister of Health Fahad Al-Jalajel

Minister of Health Fahad Al-Jalajel said the Saudi government decided that the national insurance model should be state-funded for a lifetime, with no annual renewal or coverage cap, besides not requiring prior approvals.

During his speech at the World Health Summit, he added that the Saudi national insurance model is aimed at ensuring protection and maintaining domestic indicators. In addition, it works to increase human lifespan, focusing on health rather than treatment.

Al-Jalajel expects the cooperative (private) insurance to increase by five-fold during the coming period, on the back of soaring population rates, premium residency holders and tourist arrivals.

He expected the health sector's contribution to the Saudi GDP to rise from SAR 199 billion in 2020 to SAR 318 billion in 2030. Further, the private sector's contribution to the GDP will have a greater role in the next stage, as it is anticipated to reach SAR 145 billion by 2030, from SAR 72 billion in 2020.

The minister urged investors in general to invest in the Saudi health sector, which will reach a total of SAR 330 billion by 2030.

Al-Jalajel also reviewed the map of promising investment opportunities in the health sector, including the fields of biotechnologies and vaccines, which are expected to grow in the Kingdom to approximately SAR 130 billion by 2040. This is in addition to the fields of health product manufacturing, research and innovation, medical tourism, and digital health solutions.

Meanwhile, he pointed out that all ministry-affiliated health clusters will be transferred to state-run Health Holding Co. by 2024.