SAICO says accumulated losses rose to 28.55% of capital on higher net claims incurred, policy costs

Logo of Saudi Arabian Cooperative Insurance Co. (SAICO)

Saudi Arabian Cooperative Insurance Co. (SAICO) said higher net claims incurred and policy acquisition costs are the main reasons behind its accumulated losses that reached SAR 85.66 million, or 28.55% of its SAR 300 million capital.

In a statement to Tadawul, the company added that it will take the necessary measures to apply the procedures and instructions related to companies with losses that stand at 20% or more of capital.

SAICO noted that there is no relevant financial impact.

The insurer widened net losses to SAR 50 million for the first nine months of 2022, compared to SAR 42 million in the year-earlier period, Argaam earlier reported.