Al-Etihad Insurance signs SAR 391.2M contract with HRSD Ministry

Logo of Al Etihad Cooperative Insurance Co.

Al Etihad Cooperative Insurance Co. signed today, Oct. 6, a contract worth SAR 391.25 million with the Ministry of Human Resources and Social Development (HRSD), according to a Tadawul statement.

The insurer said the one-year contract is for insurance coverage of the financial dues of non-Saudi workers in the private sector, as per the agreed terms and conditions as well as the insurance policy approved by the Insurance Authority (IA).

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The deal will be conducted in cooperation with a number of Saudi insurance and reinsurance companies, starting from the date of signing the agreement with the ministry and after obtaining the final IA approval.

The relevant financial impact will be reflected on the company's financial performance starting from the fourth quarter of 2024, the company said, adding that there are no related parties.

The policy represents the cooperation between HRSD and IA to protect the financial rights of non-Saudi workers in delinquent entities in line with the ministry's classification.

The insurance coverage includes wages, unpaid dues, and return tickets to workers' home country within the agreed upon coverage limits and in accordance with an agreed set of terms and conditions.

Further developments will be announced in due course, the company said.