Riyadh – Mubasher: Saudi Indian Company for Cooperative Insurance (Wafa Insurance) expected that the latest decision of the Saudi Arabian Monetary Authority (SAMA) would reduce its sales on the short-term.

Moreover, the company added that the decision is unlikely to have core impact on its financial position, according to a bourse filing on Thursday.

On Wednesday, SAMA had suspended Wafa from issuing motor insurance policies as of 27 April.

SAMA said that Wafa did not commit to regulatory requirements related to fixing car insurance claims, handling customer complaints, in addition to the inefficiency of its technical systems.

Wafa also noted that the suspension will not have any impact on the insured who have valid insurance policies before the decision’s date.

The Saudi-listed firm stated that it will resolve its situation and oblige to the terms and conditions that ensure customer rights.