Motor insurance prices in Saudi Arabia lifted by higher number of accidents, services costs: Official

Adel Al-Eisa Media Spokesperson for Insurance Companies in Saudi Arabia

Motor insurance prices in Saudi Arabia were lifted by several reasons, mainly the increased number of accidents, a sharp rise in car spare parts prices as well as maintenance services provider costs, in addition to traffic fraud incidents, said Adel Al-Eisa, Media Spokesperson for Insurance Companies in Saudi Arabia.

Motor vehicle insurance prices are set by actuarial experts at insurance companies.

Pricing is linked to many factors, of which some is related to each company, or the insured risks with the related factors, such as the vehicle model, year of manufacture, as well as the driver’s experience and insurance register, Al-Eisa added.

Prices are monitored by the Saudi Central Bank (SAMA), being the legislator and supervisor of the insurance market to ensure fair prices for insurance companies and the insured, he concluded.