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The very high number of road accidents has prompted the Saudi authorities to adopt a bonus-malus system for motor insurance. From now on, holders of a motor insurance policy, whose third party liability is not involved in a road accident, could benefit from a 15% discount.
This rate will be 30% if the driver is not involved in a claim over a three-year period.
However, a tariff increase can be applied against bad drivers. The new directives of the supervisory authority will enter into force in April 2017.
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