Saudi car insurers offer up to 15% no-claims discount

RIYADH — Saudi insurers will offer no-claim discounts of between 10 and 15 percent to individual mandatory or comprehensive motor insurance policyholders, starting from Aug. 1 until the end of this year.

The move comes in line with instructions of the Saudi Arabian Monetary Authority (SAMA), the Kingdom's central bank and insurance market regulator

In December, insurance companies were required to provide no-claim policyholders with discount when pricing individual mandatory motor insurance policies, provided that such a discount is applied on the base rate.

The no-claim discount could reach up to 15 percent of the prevailing rate of a one-year motor insurance policy and could be increased to 30 percent for three years of no claims. — SG