Saudi Arabia approves marine war-risk insurance pool to support trade

Saudi Arabia's Cabinet has greenlit the creation of a national insurance pool to cover risks associated with war for cargo and ships. The initiative is intended to bolster marine insurance capabilities and safeguard the continuity of trade and supply networks. Finance Minister Mohammed Al-Jadaan revealed that the pool will serve as a specialized national system to assist the insurance sector in handling maritime risks through a public-private collaboration.

He explained that the initiative will bolster the market's technical capabilities and expand its capacity to offer appropriate insurance coverage under the guidelines and regulations approved by the Insurance Authority. Al-Jadaan added that the pool will bolster the resilience of the national economy and bolster Saudi Arabia's standing as a leading global logistics center.

The Saudi Reinsurance Company will spearhead the pool's operations under the Insurance Authority's oversight, with the involvement of various insurance firms. Policyholders will gain access to the pool through participating insurers, provided they adhere to the approved terms and conditions.