‎Saudi insurance spending per capita up 16% to SAR 2,367 in 2024

‎Saudi insurance spending per capita up 16% to SAR 2,367 in 2024 ‎Saudi insurance spending per capita up 16% to SAR 2,367 in 2024

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Per capita spending on insurance in Saudi Arabia grew 16% to SAR 2,367 by the end of 2024, compared to SAR 2,035 a year earlier, data from the Insurance Authority (IA) showed.

The per capita insurance spending is defined as the gross written premiums (GWPs) during the year divided by population.

Per capita spending on insurance in Saudi Arabia grew at a compound annual rate (CAGR) of 21.2% over the last five years.

Health insurance accounted for 55% of total per capita spending in the sector last year, followed by general insurance with 34%, as well as protection and savings insurance with 10%.

The IAreport explained that the insurance penetration, which is represented by the ratio of total insurance premiums to the gross domestic product (GDP), increased to 1.87% in 2024, compared to 1.64% in 2023.

Similarly, the insurance sector’s contribution to the non-oil GDP also expanded to 2.59% in 2024 compared to 2.38% in 2023, and it is targeted to increase to 4.3% by 2030.

Last year witnessed the issuance of several regulations, guidelines, and standardized policies aimed at keeping pace with developments in the sector and the broader economy. Notable among these were:

The issuance of the Unified Health Insurance Policy for Domestic Workers, which sets the minimum mandatory health coverage for this category.

The Unified Professional Liability Insurance Policy for entities inspecting compliance with the Saudi Building Code.

The Unified Civil Liability Insurance Policy for crowded venues and high-risk activities.

Per CapitaSpending onInsuranceSince 2010 (SAR)

Year

General

Health

Protection Savings

Total

2010

244

315

35

594

2011

278

342

32

652

2012

308

386

30

724

2013

383

430

28

841

2014

450

511

29

990

2015

523

602

33

1158

2016

541

587

33

1161

2017

502

585

35

1121

2018

419

595

33

1048

2019

417

657

33

1107

2020

414

645

36

1095

2021

435

717

49

1200

2022

576

933

55

1564

2023

754

1200

80

2035

2024

814

1313

239

2367

GWPs saw a 16% year-on-year (YoY) increase to SAR 76.1 billion in 2024.

Health insurance GWPs stood at SAR 42.2 billion in 2024, up 9% from SAR 38.6 billion in 2023. Similarly, general insurance GWPs grew by 8% YoY to SAR 26.2 billion in 2024. Protection and savings insurance premiums saw a 200% hike YoY, accounting for 10.1% of GWPs up from 3.9% in 2023.

GWPs by Insurance Segment in 2024 (SAR bln)

Type

2023

2024

Change value

Change (%)

Healthcare

38.6

42.2

+ 3.6

+9%

General

24.3

26.2

+ 1.9

+8%

Protection Savings

2.6

7.7

+ 5.1

+200%

Total

65.5

76.1

+10.7

+16%

In the general insurance segment, auto insurance premiums accounted for 53%, or SAR 13.9 billion, of total. General accidents liability insurance came second with 13%.

General Insurance Performancein 2024 (SAR mln)

Activity

Value

Percentage to total

Auto

13891.5

53.0%

General Accidents Liability

3477.8

13.3%

Property

2945.1

11.2 %

Engineering

2880.6

11.0 %

Energy

1723.6

6.6 %

Marine

1017.2

3.9 %

Aviation

255.4

1.0%

Total

26191.1

100%

 

Per capita spending on insurance in Saudi Arabia grew 16% to SAR 2,367 by the end of 2024, compared to SAR 2,035 a year earlier, data from the Insurance Authority (IA) showed.

The per capita insurance spending is defined as the gross written premiums (GWPs) during the year divided by population.

Per capita spending on insurance in Saudi Arabia grew at a compound annual rate (CAGR) of 21.2% over the last five years.

Health insurance accounted for 55% of total per capita spending in the sector last year, followed by general insurance with 34%, as well as protection and savings insurance with 10%.

The IAreport explained that the insurance penetration, which is represented by the ratio of total insurance premiums to the gross domestic product (GDP), increased to 1.87% in 2024, compared to 1.64% in 2023.

Similarly, the insurance sector’s contribution to the non-oil GDP also expanded to 2.59% in 2024 compared to 2.38% in 2023, and it is targeted to increase to 4.3% by 2030.

Last year witnessed the issuance of several regulations, guidelines, and standardized policies aimed at keeping pace with developments in the sector and the broader economy. Notable among these were:

The issuance of the Unified Health Insurance Policy for Domestic Workers, which sets the minimum mandatory health coverage for this category.

The Unified Professional Liability Insurance Policy for entities inspecting compliance with the Saudi Building Code.

The Unified Civil Liability Insurance Policy for crowded venues and high-risk activities.

Per CapitaSpending onInsuranceSince 2010 (SAR)

Year

General

Health

Protection Savings

Total

2010

244

315

35

594

2011

278

342

32

652

2012

308

386

30

724

2013

383

430

28

841

2014

450

511

29

990

2015

523

602

33

1158

2016

541

587

33

1161

2017

502

585

35

1121

2018

419

595

33

1048

2019

417

657

33

1107

2020

414

645

36

1095

2021

435

717

49

1200

2022

576

933

55

1564

2023

754

1200

80

2035

2024

814

1313

239

2367

GWPs saw a 16% year-on-year (YoY) increase to SAR 76.1 billion in 2024.

Health insurance GWPs stood at SAR 42.2 billion in 2024, up 9% from SAR 38.6 billion in 2023. Similarly, general insurance GWPs grew by 8% YoY to SAR 26.2 billion in 2024. Protection and savings insurance premiums saw a 200% hike YoY, accounting for 10.1% of GWPs up from 3.9% in 2023.

GWPs by Insurance Segment in 2024 (SAR bln)

Type

2023

2024

Change value

Change (%)

Healthcare

38.6

42.2

+ 3.6

+9%

General

24.3

26.2

+ 1.9

+8%

Protection Savings

2.6

7.7

+ 5.1

+200%

Total

65.5

76.1

+10.7

+16%

In the general insurance segment, auto insurance premiums accounted for 53%, or SAR 13.9 billion, of total. General accidents liability insurance came second with 13%.

General Insurance Performancein 2024 (SAR mln)

Activity

Value

Percentage to total

Auto

13891.5

53.0%

General Accidents Liability

3477.8

13.3%

Property

2945.1

11.2 %

Engineering

2880.6

11.0 %

Energy

1723.6

6.6 %

Marine

1017.2

3.9 %

Aviation

255.4

1.0%

Total

26191.1

100%

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