SAICO gets IA’s nod to use statutory reserve to offset accumulated losses

Logo of Saudi Arabian Cooperative Insurance Co. (SAICO) 

Saudi Arabian Cooperative Insurance Co. (SAICO) received today, Dec. 2, the approval of the Insurance Authority (IA) to use part of its statutory reserve balance to offset its accumulated losses.

In a statement to Tadawul, the company clarified that this approval is not final, as it will be presented to the company’s extraordinary general assembly meeting.

On November 12, the company’s board of directors recommended using SAR 39.09 million from the total statutory reserve balance of SAR 43.69 million to offset its accumulated losses.

SAICO’s accumulated losses as of Sept. 30, 2024, stood at SAR 39.09 million, representing 13.03% of capital, according to data available to Argaam.