Riyadh – Mubasher: United Cooperative Assurance Co. expected that Saudi Arabian Monetary Authority (SAMA) ban will have a negative impact on the company’s financial position and short-term profits.

The company noted that it will soon hold a meeting with SAMA to discuss the issue and take the necessary procedures to avoid the banning reasons, according to a bourse filing on Wednesday.

The Saudi-listed company assured that the decision does not affect the clients who have valid insurance policies issued before the banning date.

On Tuesday, SAMA banned the company from accepting new subscribers to its auto insurance segment, for failing to meet regulatory requirements regarding insurance claims.

This is the second time in the second half of the year for SAMA to ban Union Cooperative.