Insurers told to return premium within 3 days

Saudi Arabian Monetary Authority (SAMA), the Kingdom's central bank, has issued a new circular ordering insurance firms to return part of the premium paid to clients within three instead of 15 days in case of cancellation of insurance policies, Al-Eqtisadiah newspaper reported on Thursday.

Policyholders, who need to cancel their policies before the expiry date, should submit a cancellation application and return those policies to the insurer. The insurance firm would return part of the premium paid for the valid period of that policy.