Saudi: New insurance policy introduces option of repairing damaged vehicle
The Saudi Central Bank (SAMA) has introduced new amendments to the Unified Compulsory Motor Insurance Policy, allowing an option of repairing the vehicle instead of getting cash compensation.
SAMA clarified that these amendments include the policy definitions and its appendixes in accordance with the ongoing developments of the Insurance Industry, as well as updating the exceptions and transferring some of the rights of recovery cases.
The amendments also allow for an option where the third party is entitled to choose between direct cash compensation, or getting the damaged vehicle repaired.
The updates come as part of SAMA’s endeavour to efficiently develop and facilitate traffic claim settlement procedures and to protect the rights of the parties of the insurance contract.
It comes based on the authority vested in SAMA according to the Insurance Control Law as well as in line with its continuous efforts to develop the insurance sector and to protect the rights of the insured and the beneficiaries of the insurance coverage.
