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|03 July, 2018

Women to pay less for auto insurance in Saudi Arabia

Insurance companies are also planning to hire women and plans are afoot to develop a special section for female employees

A Saudi woman fixes a mirror as she checks a car at a showroom in Riyadh, Saudi Arabia October 5, 2017.

A Saudi woman fixes a mirror as she checks a car at a showroom in Riyadh, Saudi Arabia October 5, 2017.

REUTERS/Faisal Al Nasser

JEDDAH: The move to allow women to drive in Saudi Arabia is expected to give impetus to the economy in several sectors from car sales to insurance.

Despite competitive pressure on car insurance companies to lower their prices and credit conditions in the Saudi market, it is expected that the Saudi index will rise 1.8 percent through wide gains in insurance, banking and petrochemicals now that women are allowed to drive.

In some countries, prices differ from men to women for car insurance services. However, here are some examples of how car insurance companies will deal with women driving.

An insurance company in Saudi Arabia offered a 15 percent discount for women. The offer is valid until July 24.

Samer Mohammed, a customer services worker at the company, told Arab News: “Women’s insurance documents will include a roadside assistance service to assist women in the event of an emergency.

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“This service is provided as an additional service for women and it is not available for men. If a case is complicated the employee will take the car to one of our centers to make sure everything goes smoothly.”

Sara Al-Moaibed, a customer service employee at another insurance firm, said there will be no changes in prices for women. “Prices for men and women will be the same.”

In fact, insurance companies are also planning to hire women and plans are afoot to develop a special section for female employees, according to sources in the insurance sector.

Women driving will have the greatest impact in improving and reducing traffic accidents because of the nature of women and their keenness to follow traffic laws and regulations.

Statistically, women are safer drivers, which means they are also less likely to file a claim than men. Therefore, they will generally pay less for car insurance.

Copyright: Arab News © 2018 All rights reserved. Provided by SyndiGate Media Inc. (Syndigate.info).

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