Saudi health insurance sector ‘poised for strong growth’

Saudi health insurance sector ‘poised for strong growth’

The health insurance sector in Saudi Arabia is showing great potential for growth and development, according to Tal Nazer, CEO of Bupa Arabia for Cooperative Insurance.

“Over the years, the sector has witnessed rapid growth, with the market size increasing from around SR1.3 billion ($350 million) in 2005 to more than SR25 billion in 2021, which is a growth of over 19 times in just 17 years.”

The kingdom’s health insurance beneficiaries number around 11.8 million with only 24 companies offering health insurance, thus presenting a huge opportunity in the sector for investment.

Growth factors

Nazer, who recently participated in the Financial Sector Conference (FSC), said factors impacting the upward graph include mandatory health insurance for private sector workers and their families, increased demand for healthcare services, population growth, demographic changes, and economic growth and diversification in the country.

Nazer welcomed the holding of FSC 2023 and said the company’s involvement in such events underscores its ongoing efforts to advance economic and social development in the kingdom, which is a vital component of the national economy and a key contributor to achieving the goals of Vision 2030. The Bupa Arabia CEO joined a key panel discussion in the second edition of the FSC, which was