SAICO renews auto insurance coverage contract with Al Rajhi Bank

Saudi Arabian Cooperative Insurance Co. (SAICO) signed, on Monday, a contract with Al Rajhi Bank to renew auto insurance coverage for the vehicles sold by the bank through its financing lease program, the company said in a bourse statement.

The renewal is valid for one year from May 1, 2020 with annual installments expected to cross 5% of the insurer’s revenue, the statement added.

The contract is forecast to be reflected on financial statements of FY2020 as of the second quarter, however, the financial impact cannot be determined accurately due to the variation in the values of the clients’ insurance claims received every month.

No related parties are involved in the deal.