Bank Aljazira inks SAR 3 mln insurance deals with Aljazira Takaful

Bank Aljazira has inked an agreement worth SAR 2.4 million with Aljazira Takaful Taawuni Co. to renew the collective insurance of the bank’s personal financing portfolio.

Aljazira Takaful also sealed another SAR 696,297 worth of a mortgage portfolio protection agreement with Bank Aljazira, the company said in two statements on Saudi bourse, Tadawul.

Coverage, which started on May 19, is valid for one year.

The relevant financial impact will be reflected on Aljazira Takaful’s earnings during FY17 and FY18. However, Bank Aljazira expects no relevant financial impact from both deals.

Chairman Abdel Majeed bin Ibrahim is a related party and will be indirectly granted some privileges under both contracts, the statement said.

Bank Aljazira holds a 30 percent stake in Aljazira Takaful, according to data compiled by Argaam.