Actuarial Services’ head praises presence of unified insurance regulator to speed up decision-making

United Co. for Actuarial Services’ (CAIS) CEO Sulaiman Binmayouf

The announcement of the imminent presence of an authority for the insurance sector is promising as it helps in decision-making’s independence through the existence of more accurate and transparent regulations and laws, United Co. for Actuarial Services’ (CAIS) CEO Sulaiman Binmayouf told Argaam.

On the sidelines of the sixth Saudi Insurance Symposium 2022, Binmayouf asserted that will accelerate the dynamic transformation process, indicating that the presence of an independent body is a requirement of companies operating in the sector for 30 years.

Insurance sector is looking forward to having an entrepreneurship platform, which helps business owners to participate in and need quick decision-making by the legislator.

Binmayouf affirmed the necessity of providing another platform concerned with electronic operations and digital transformation within the sector. This contributes to accelerating the communication process, which will serve the sector generally.

The International Federation of Accountants (IFAC) obligated the application of International Financial Reporting Standards (IFRS) on the “IFRS17” insurance sector, which will be more comprehensive and integrated.

This provides more accurate and transparent financial statements for insurance firms that help investors in the decision-making process, as the old IFRS was limited in application.

Binmayouf indicated that all investors see that the insurance sector is always at a loss, but that there are profitable and losing companies.

The financial statements of insurance companies are different and have a technical specificity that differs from any financial statements of companies in other sectors.

According to data compiled by Argaam, Minister of Finance Mohammed Al-Jadaan stated that a unified regulator for the insurance sector, independent of the Saudi Central Bank (SAMA), will be announced soon.