S&P: Saudi Dominates Islamic Insurance
Standard & Poor's has affirmed that Saudi Arabia will remain the largest Islamic insurance market in the Gulf, accounting for approximately 89% of the sector's revenues in 2025, down from 91% in 2024. Despite a slowdown in revenue growth to 9.6% in 2024, growth rebounded strongly in the first half of 2026, with revenues rising by 15% annually. The profits of Gulf Islamic insurance companies increased by 12%, while Saudi companies saw a 14% rise in profits supported by a 20% increase in investment income. The sector is expected to grow between 10% and 12% in 2026, fueled by demand for mandatory vehicle insurance and medical insurance, despite geopolitical challenges and rising repair and healthcare costs. The report predicts an improvement in insurance companies’ profits in 2026 after a decline in 2025, when the Saudi market's profits dropped to $507 million, while profits of companies outside the kingdom increased.
Notice: This Is an AI-Generated Summary
Comments (0)