The Saudi Arabian Monetary Authority (SAMA) announced that it decided to stop SABB Takaful Company from issuing or renewing any protection and / or savings insurance documents, as of Tuesday 01/13/1439 AH corresponding to 10/3/2017 AD, according to Article (19) of The Cooperative Insurance Companies Control Law issued by Royal Decree No. (M / 32) dated 06/02/1424 AH, as a result of the weakness of the company's internal control in its implementation of some of the rules and regulations. The company was also directed to appoint a consultant approved by SAMA to study the causes of weakness and develop proposals and solutions necessary to overcome that.

                SAMA affirms that the ban decision does not absolve the company from its obligations related to the valid insurance documents and claims that arise from them. The prohibition against the company will not be lifted until the company's correctness of its conditions is proven and its commitment to the regulatory standards and requirements that guarantee the rights of the insured and the beneficiaries of the insurance coverage. SAMA warned the company to correct these violations on 06/24/1438 AH, but the company did not provide proof of its correction for these violations, so as to ensure the effective and sustainable treatment of the reasons for their occurrence.

                This decision comes within the framework of the Saudi Arabian Monetary Authority's keenness to protect the rights of the insured and the beneficiaries of the insurance coverage and to prevent irregular practices in the insurance sector. SAMA hopes not to hesitate to file a complaint with the Client Protection Department through the institution's website or by calling the toll-free number 8001256666.