RIYADH, 12 February 2004 — The National Company for Cooperative Insurance, the largest cooperative insurance company in the Kingdom, officially changed its name to NCCI at its Extraordinary General Assembly last week. The meeting was chaired by Soliman A. Al-Humayyd, chairman of the board of directors of the company. Representatives of shareholders such as Public Investment Fund (PIF), General Organization for Social Insurance (GOSI) and Retirement Pension Agency (RPA) were also present.
The meeting followed a decision taken by the Council of Ministers two weeks ago authorizing the company to hold an extraordinary meeting to amend the company’s articles of association. “A number of amendments were made including changing the name to NCCI,” said Hassan Abu Aysh, chief auditor of the company. He said the term NCCI had become a household word in the Kingdom by way because of its unique services. The assembly also decided to nominate two licensed auditors in the Kingdom to examine and audit its balance sheets and financial statements.
The company achieved a record 415.1 percent growth during the third quarter of this year, mainly due to income from Rukhsa, motor, medical and casualty insurance business. NCCI posted a net surplus of SR178.7 million from insurance operations during the third quarter of 2003.
According to Ahmed Al-Shalaan, NCCI’s marketing services manager, the company wrote motor insurance premiums worth SR148.1 million in 2001 which rose to SR270.3 million last year, an 82.6 percent increase. Medical insurance declined from SR285 million in 2001 to SR237.7 million. He said the reason was that many new players had entered the market. Concerns about terrorism have led to an almost 178 percent increase in fire and property premiums.