Gulf Union expects higher motor policy sales on compulsory motor insurance

Gulf Union Cooperative Insurance Co. said in a bourse statement that it expects the General Department of Traffic’s decision about compulsory motor insurance to have a positive impact on its motor policy sales.

The move will likely reflect positively on the insurer's gross written premiums (GWPs), it added.

However, the insurer indicated that it is difficult to determine the financial impact at present as there is no accurate data on the uninsured vehicles.

Updates will be revealed in due course, the statement added.

The Saudi General Department of Traffic urged all vehicle owners to have valid vehicle insurance before the resumption of the automatic issuance of traffic violations from July 22.