Wafa Insurance submits corrective plan after ban

Saudi Indian Co. for Cooperative Insurance (Wafa Insurance) said it has adopted a corrective plan in line with instructions from Saudi Arabian Monetary Authority (SAMA), the insurance market regulator and the Kingdom’s central bank.

The plan was submitted to the insurer’s board of directors for approval, and a detailed report was sent to SAMA on Sept. 26, 2017 to explain the measures taken in this regard, the insurer said in a statement to Saudi bourse, Tadawul.

On Oct. 15, 2017, a business team from SAMA visited the company to ensure the corrective measures were in place while those measures are currently being reviewed by the Saudi central bank.

 In August, SAMA banned Wafa from issuing new auto insurance policies or renewing existing ones due to weak internal controls and compliance management, as well as non-compliance with regulations over the issuance of mandatory auto policies.

Wafa Insurance was required to present a specific board-approved time plan, within 20 days, which includes all corrective measures to be taken in order to fix irregularities in this regard, Argaam reported.