According to Arabia Net, the company said in a statement that the reasons for its transformation from profitability by more than 11 million riyals in the same quarter of the previous year to this value of losses is due to The following reasons are: -
- The increase in net claims incurred by 15.7% (136.3 million riyals compared to 117.8 million riyals).
- This comes despite an increase in net revenue by 4.6% (165.6 million riyals compared to 158.3 million riyals).
She said that the reason for the increase in net claims incurred is mainly due to the increase in vehicle insurance claims by 35% (96.0 million riyals compared to 71.1 million riyals). p>
She stated that this decrease in the performance of the vehicle insurance sector is mainly due to a number of insurance policies that were subscribed in the first and second quarters of 2019 and were found to be performing poorly.
The administration has taken the necessary measures to analyze performance and to restore vehicles insurance for profitability as soon as possible.
