ACIG required to raise statutory deposit to 15%

Allied Cooperative Insurance Group (ACIG) received, on Wednesday, a letter from the Saudi Arabian Monetary Authority (SAMA) requiring the insurer to lift its statutory deposit to 15% of capital.

The step is attributed to the decline of ACIG’s solvency margin compared to the required level for the quarter ended Sept. 30, 2019, in addition to the continuity of accumulated losses, the insurer said in a bourse statement.

The company reported accumulated losses of SAR 59.6 million as of Sept. 30, 2019 representing 29.8% of capital, according to data compiles by Argaam.