Research and Markets (http://www.researchandmarkets.com/research/qwrsdk/saudi_arabia)
has announced the addition of the "Saudi
Arabia Insurance Report Q3 2012" report to their offering.
The Saudi Arabia Insurance Report provides industry professionals and
strategists, corporate analysts, insurance associations, government
departments and regulatory bodies with independent forecasts and
competitive intelligence on Saudi Arabia's insurance industry.
The Saudi Arabia Insurance Report considers the prospects for both life
and non-life insurers in the country. As of mid-2012, the latest results
from Saudi Arabia's listed insurance companies (in relation to 2011)
highlight the weaknesses rather than the strength of the sector.
Although insurance is very underdeveloped by most metrics, top-line
growth in premiums has been mixed.
Companies have had to deal with surging claims expenses, which in some
cases have been exacerbated by a deliberate policy of increasing the
retention ratio. Generally, though, retention ratios remain low.
Investment earnings have been mixed. Worst of all, prices and margins
have been compressed by cut-throat competition. This appears to be the
consequence of a desperate bid by too many companies, particularly the
recent entrants to the market, to boost market shares regardless of
Previously, we had had some confidence that non-life penetration would
rise quite sharply thanks to the growing acceptance of insurance. Over
the last five years, the main catalyst for the development of the sector
has been the rise in (compulsory) health insurance premiums, which have
had a positive impact on both segments. As is the case with our other
insurance reports, we include health insurance in the non-life segment.
Over the last quarter, BMI has made the following changes:
- Our analysis incorporates BMI's latest forecasts for Saudi Arabia's
economy, including details in relation to auto sales and trends in the
- The analysis incorporates the latest comments on developments of
Tawuniya, as well as data pertaining from Ernst & Young's latest World
Takaful Report, which was published in Q212.
For more information visit http://www.researchandmarkets.com/research/qwrsdk/saudi_arabia
Research and MarketsLaura Wood, Senior Managerpress@researchandmarkets.comU.S.
Fax: 646-607-1907Fax (outside U.S.): +353-1-481-1716Sector: Insurance
Source: Research and Markets