Saudi Arabia Insurance Market Analysis
Even while gradually reviving from the global economic crisis, Saudi Arabia managed to post considerable revenue. Strong domestic funding and high investments level fuelled the growth further. In addition, strict regulation emanating from the Saudi Arabian Monetary Authority (SAMA) also facilitated the development of the market, together with better laws towards improving the structure.
According to our latest research report, “Saudi Arabia Insurance Market Analysis”, health insurance has emerged as one of the fastest growing segments in the Saudi Arabian insurance sector. With 53% share of the total insurance premium during 2010, health insurance has become a key growth driver for the overall market. Moreover, as health insurance has become compulsory for expatriates, the country is on its way to witness significant increase in the number of insured people. The share of gross health insurance is likely to reach around 60% by 2015-end.
Under the general insurance sector, sub-segments, such as engineering insurance, aviation insurance, and motor insurance are anticipated to contribute towards the growth of the overall industry. Impressive performance by these segments is likely to propel the general insurance sector, which in turn, is expected to grow at a CAGR of around 13% during 2011-2015.
Takaful insurance, wherein people guarantee each other is one of the fastest growing segments in the insurance industry in Saudi Arabia. Besides, a number of banks have been following the Bancassurance model to make insurance services available to most of the people in Saudi Arabia. The future outlook of Saudi Arabia insurance sector is very bright as there is a strong intrinsic growth potential in the market. Factors, such as low penetration, strong government spending, and economic diversification are likely to propel the number of persons opting for insurance plans.
The report 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 the 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.
According to our latest research report, “Saudi Arabia Insurance Market Analysis”, health insurance has emerged as one of the fastest growing segments in the Saudi Arabian insurance sector. With 53% share of the total insurance premium during 2010, health insurance has become a key growth driver for the overall market. Moreover, as health insurance has become compulsory for expatriates, the country is on its way to witness significant increase in the number of insured people. The share of gross health insurance is likely to reach around 60% by 2015-end.
Under the general insurance sector, sub-segments, such as engineering insurance, aviation insurance, and motor insurance are anticipated to contribute towards the growth of the overall industry. Impressive performance by these segments is likely to propel the general insurance sector, which in turn, is expected to grow at a CAGR of around 13% during 2011-2015.
Takaful insurance, wherein people guarantee each other is one of the fastest growing segments in the insurance industry in Saudi Arabia. Besides, a number of banks have been following the Bancassurance model to make insurance services available to most of the people in Saudi Arabia. The future outlook of Saudi Arabia insurance sector is very bright as there is a strong intrinsic growth potential in the market. Factors, such as low penetration, strong government spending, and economic diversification are likely to propel the number of persons opting for insurance plans.
The report 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 the 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.
1. ANALYST VIEW
2. RESEARCH METHODOLOGY
3. INSURANCE INDUSTRY OVERVIEW
3.1 GCC
3.2 Saudi Arabia
3.2.1 Commission Expenses
3.2.2 Insurance Penetration
3.2.3 Insurance Density
4. WHY WILL INDUSTRY PERFORM?
4.1 Macroeconomic Growth
4.2 Increasing Working Population Escalating Insurance Demand
4.3 Insurance Mandates Stimulating Growth
4.4 Government Investments Favors Insurance Industry
4.5 Economic Diversification Encouraging Insurance Industry
5. INDUSTRY FORECAST TO 2015
5.1 Health Insurance
5.2 Protection and Savings Insurance
5.3 General Insurance
5.3.1 Motor Insurance
5.3.2 Property/Fire Insurance
5.3.3 Marine Insurance
5.3.4 Engineering Insurance
5.3.5 Aviation Insurance
5.3.6 Energy Insurance
5.3.7 Accident, Liability, and Other Insurances
6. POTENTIAL GROWTH AREAS
6.1 Emerging Export Credit Insurance
6.2 Takaful Insurance
6.3 Pension Funds System
6.4 Potential in Bancassurance
6.5 Reinsurance Comes Onshore
7. GROWTH CHALLENGES
7.1 Challenging Investment Market
7.2 Shortage of Skilled Labor Force
7.3 Lack of Awareness
7.4 Moral Hazards and Frauds
8. REGULATORY ENVIRONMENT
8.1 Saudi Arabian Monetary Agency (SAMA)
8.2 Co-operative Insurance Regulations
8.3 Foreign Ownership
9. COMPETITIVE LANDSCAPE
2. RESEARCH METHODOLOGY
3. INSURANCE INDUSTRY OVERVIEW
3.1 GCC
3.2 Saudi Arabia
3.2.1 Commission Expenses
3.2.2 Insurance Penetration
3.2.3 Insurance Density
4. WHY WILL INDUSTRY PERFORM?
4.1 Macroeconomic Growth
4.2 Increasing Working Population Escalating Insurance Demand
4.3 Insurance Mandates Stimulating Growth
4.4 Government Investments Favors Insurance Industry
4.5 Economic Diversification Encouraging Insurance Industry
5. INDUSTRY FORECAST TO 2015
5.1 Health Insurance
5.2 Protection and Savings Insurance
5.3 General Insurance
5.3.1 Motor Insurance
5.3.2 Property/Fire Insurance
5.3.3 Marine Insurance
5.3.4 Engineering Insurance
5.3.5 Aviation Insurance
5.3.6 Energy Insurance
5.3.7 Accident, Liability, and Other Insurances
6. POTENTIAL GROWTH AREAS
6.1 Emerging Export Credit Insurance
6.2 Takaful Insurance
6.3 Pension Funds System
6.4 Potential in Bancassurance
6.5 Reinsurance Comes Onshore
7. GROWTH CHALLENGES
7.1 Challenging Investment Market
7.2 Shortage of Skilled Labor Force
7.3 Lack of Awareness
7.4 Moral Hazards and Frauds
8. REGULATORY ENVIRONMENT
8.1 Saudi Arabian Monetary Agency (SAMA)
8.2 Co-operative Insurance Regulations
8.3 Foreign Ownership
9. COMPETITIVE LANDSCAPE
LIST OF FIGURES
Figure 3-1: GCC - Gross Insurance Premium (Billion US$), 2007-2010
Figure 3-2: GCC - Share of Life and Non Life Insurance Premium (2010)
Figure 3-3: GCC - Premium Contribution by the Country (%), 2010
Figure 3-4: Gross Insurance Premium (Billion SAR), 2007-2015
Figure 3-5: Gross Claims Paid (Billion SAR), 2007-2010
Figure 3-6: Commission Expenses (Million SAR), 2007-2010
Figure 3-7: Insurance Penetration by Category (2007-2010)
Figure 3-8: Insurance Density by Category (SAR per Capita), 2007-2010
Figure 4-1: Real GDP Growth (%), 2007-2015
Figure 4-2: Per Head Disposable Income (US$), 2007-2015
Figure 5-1: Gross Insurance Premium by Category (%), 2010
Figure 5-2: Forecast for Gross Insurance Premium by Category (%), 2015
Figure 5-3: Gross Health Insurance Premium (Billion SAR), 2007-2015
Figure 5-4: Gross Health Insurance Claims Paid (Billion SAR), 2007-2010
Figure 5-5: Share of Companies in Gross Health Insurance Premium (2010)
Figure 5-6: Gross Protection & Savings Insurance Premium (Billion SAR), 2007-2015
Figure 5-7: Gross Protection & Savings Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-8: Gross General Insurance Premium (Billion SAR), 2007-2015
Figure 5-9: Gross General Insurance Premium by Category (%), 2010
Figure 5-10: Gross Motor Insurance Premium (Billion SAR), 2007-2015
Figure 5-11: Gross Motor Insurance Claims Paid (Billion SAR), 2007-2010
Figure 5-12: Gross Property/Fire Insurance Premium (Billion SAR), 2007-2015
Figure 5-13: Gross Property/Fire Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-14: Gross Marine Insurance Premium (Million SAR), 2007-2015
Figure 5-15: Gross Marine Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-16: Gross Engineering Insurance Premium (Million SAR), 2007-2015
Figure 5-17: Gross Engineering Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-18: Gross Aviation Insurance Premium (Million SAR), 2007-2015
Figure 5-19: Gross Aviation Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-20: Gross Energy Insurance Premium (Million SAR), 2007-2015
Figure 5-21: Gross Energy Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-22: Gross Accident, Liability and Other Insurance Premium (Million SAR), 2007-2015
Figure 5-23: Gross Accident, Liability, and Other Insurance Claims Paid (Million SAR), 2007-2010
Figure 6-1: General Premium Ceded (Million SAR), 2007-2010
Figure 6-2: Retention Ratio by Category (2008-2010)
Figure 3-1: GCC - Gross Insurance Premium (Billion US$), 2007-2010
Figure 3-2: GCC - Share of Life and Non Life Insurance Premium (2010)
Figure 3-3: GCC - Premium Contribution by the Country (%), 2010
Figure 3-4: Gross Insurance Premium (Billion SAR), 2007-2015
Figure 3-5: Gross Claims Paid (Billion SAR), 2007-2010
Figure 3-6: Commission Expenses (Million SAR), 2007-2010
Figure 3-7: Insurance Penetration by Category (2007-2010)
Figure 3-8: Insurance Density by Category (SAR per Capita), 2007-2010
Figure 4-1: Real GDP Growth (%), 2007-2015
Figure 4-2: Per Head Disposable Income (US$), 2007-2015
Figure 5-1: Gross Insurance Premium by Category (%), 2010
Figure 5-2: Forecast for Gross Insurance Premium by Category (%), 2015
Figure 5-3: Gross Health Insurance Premium (Billion SAR), 2007-2015
Figure 5-4: Gross Health Insurance Claims Paid (Billion SAR), 2007-2010
Figure 5-5: Share of Companies in Gross Health Insurance Premium (2010)
Figure 5-6: Gross Protection & Savings Insurance Premium (Billion SAR), 2007-2015
Figure 5-7: Gross Protection & Savings Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-8: Gross General Insurance Premium (Billion SAR), 2007-2015
Figure 5-9: Gross General Insurance Premium by Category (%), 2010
Figure 5-10: Gross Motor Insurance Premium (Billion SAR), 2007-2015
Figure 5-11: Gross Motor Insurance Claims Paid (Billion SAR), 2007-2010
Figure 5-12: Gross Property/Fire Insurance Premium (Billion SAR), 2007-2015
Figure 5-13: Gross Property/Fire Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-14: Gross Marine Insurance Premium (Million SAR), 2007-2015
Figure 5-15: Gross Marine Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-16: Gross Engineering Insurance Premium (Million SAR), 2007-2015
Figure 5-17: Gross Engineering Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-18: Gross Aviation Insurance Premium (Million SAR), 2007-2015
Figure 5-19: Gross Aviation Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-20: Gross Energy Insurance Premium (Million SAR), 2007-2015
Figure 5-21: Gross Energy Insurance Claims Paid (Million SAR), 2007-2010
Figure 5-22: Gross Accident, Liability and Other Insurance Premium (Million SAR), 2007-2015
Figure 5-23: Gross Accident, Liability, and Other Insurance Claims Paid (Million SAR), 2007-2010
Figure 6-1: General Premium Ceded (Million SAR), 2007-2010
Figure 6-2: Retention Ratio by Category (2008-2010)
LIST OF TABLES
Table 3-1: Number of Insurance Companies and Insurance Service Providers (2011)
Table 3-2: Number of Employees in Insurance Sector by Nationality (2009 & 2010)
Table 4-1: Population Breakup by Age Group (%), 2010-2015
Table 9-1: Top Ten Insurance Companies by Market Capitalization (Million SAR)
Table 3-1: Number of Insurance Companies and Insurance Service Providers (2011)
Table 3-2: Number of Employees in Insurance Sector by Nationality (2009 & 2010)
Table 4-1: Population Breakup by Age Group (%), 2010-2015
Table 9-1: Top Ten Insurance Companies by Market Capitalization (Million SAR)
