London-headquartered insurance company Aon is planning to relaunch its dedicated training program for Saudi nationals – as it looks to capture opportunities in Saudi Arabia’s growing insurance sector.
The Aon Insurance Academy, since its launched in 2014, has produced strong insurance experts in the Saudi market, Samer AlFayez, chief executive officer for commercial risk solutions in the Kingdom, said.
“Aon has always looked to develop local talent in Saudi Arabia, and continuously invests in training our people to meet future challenges,” he told Arabian Business, especially on the back of the industry’s sustained growth.
Gross written premiums in Saudi Arabia was up 8.4 percent in 2021, reaching SR42 billion, according to data from central bank data, highlighting notable increases in protection and savings, and property insurance products.
Health insurance was still the largest line of business during the same period, with its contribution to total written premiums reaching 59.7 percent.
Aon’s AlFayez said they are optimistic that growth in demand for insurance services will continue, especially as the World Bank predicts the Saudi economy to continue its post-pandemic recovery, and grow within the 3 percent range in the next two years.
The British-American firm said it has increased its investment in the Middle East in recent years – particularly in Saudi Arabia, where it has seen most profitability.
“Saudi Arabia is a key market for us, and we are currently expanding our investment with an increased focus on leveraging the power of technology and people,” AlFayez explained.
According to Saudi Central Bank, technology – online insurance platforms and aggregator channels – has played an increased role in insurance sales in 2021, growing from 6.9 percent to 7.5 percent.
The government data also pointed to increased levels in Saudisation – from 75 percent in 2020 to 77 percent in 2021. This of course is part of the Kingdom’s wider push to localise profitable industries, and empower Saudis to take up more jobs in the private sector.
“Aon’s next five-year growth plan is focussed on using our knowledge and sector expertise in combination with the skills and energy of young Saudi nationals, who will continue the Kingdom’s economic diversification agenda, and usher in a new age of economic growth for Saudi Arabia,” AlFayez said.
The Kingdom had identified the insurance sector to be an important element in its Vision 2030 – with several policy reforms introduced in 2021.
For example, the Cooperative Insurance Companies Control Law was amended that year to “enhance the Central Bank’s ability to preserve the rights of policyholders, beneficiaries, and investors,” it said in its annual insurance market report.
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