SABB Takaful renews SAR 58.1 mln deal with SABB

SABB Takaful Co. announced on Monday, Oct. 26, the renewal of the group creditors policy worth SAR 58.06 million with Saudi British Bank, according to a bourse statement.

The group creditors policy covers the outstanding personal and mortgage loan balance of SABB Bank customers in case of death and certain disability, it said.

The insurance provider noted that the policy’s total contribution is more than 1% of total revenue as per its audited financial statement for 2019.

The contract’s financial impact will be reflected on the company’s financial results for 2020, it added.

SABB Takaful also expects the renewal contract to be signed on Nov. 1, 2020.

Board members Mohammed Al-Shayea, Bashar Al-Qunaibet, Yasser Al-Barrak, Fares Al Sharif, and Maha Alsudairi have direct interest in the policy as they are representatives of SABB in the insurer’s board, the statement added.

SABB Takaful also confirmed that no preferential treatment was given on this policy and it is within the usual business of its activity.