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Saudi Arabia Insurance Pricing Trends Q1 2022

The casualty market continued to soften in the first quarter, with pricing generally experiencing reductions ranging from 5% to 7.5% in Saudi Arabia.

King Abdullah Financial District in Riyadh Saudi Arabia

Saudi Arabia

Casualty: 

The casualty market continued to soften in the first quarter, with pricing generally experiencing reductions ranging from 5% to 7.5%.

Liability pricing continued to stabilize, with increased demand from various business segments, particularly engineering, procurement, and construction (EPC), and operation and maintenance (O&M) contractors venturing into new projects. There was an increase in aviation liability queries due to privatization of the aviation sector. Aviation liability pricing increased more than 10%, on average, in the first quarter.

Property: 

Property insurance pricing reductions averaged of 5% in the first quarter. Larger and higher hazard risks continued to see rate increases in Larger and higher hazard risks continued to see rate increases in excess of 5% in the first quarter as insurers continued to offload certain risks, take smaller shares, and invite new participants. The increased capacities of local markets helped contain the impact of pricing increases on catastrophe exposed risks. Non-catastrophe risks remained targets for local markets, which often offered reduced pricing.

Middle East and Africa Pricing - Q1 2022