Lockton Receives Saudi Reinsurance License, Names Mohammed Al Rowais to Lead New Operations

Lockton, one of the world’s largest privately held insurance brokers, has obtained a reinsurance licence in Saudi Arabia and appointed Mohammed Al Rowais as chief executive officer for its new reinsurance operations in the kingdom. The strategic move positions the firm to serve the growing demand for reinsurance capacity across the Middle East’s largest economy as Saudi Arabia continues to diversify its financial services sector.

Lockton reinsurance Saudi Arabia: Lockton’s Expansion into Saudi Arabia

Lockton, founded in 1966 and headquartered in Kansas City, Missouri, operates in more than 140 countries with approximately 10,000 employees worldwide. The company has steadily expanded its presence in the Middle East over the past two decades, establishing offices in Dubai, Abu Dhabi, Qatar, and Bahrain. The Saudi Arabia licence represents a significant milestone in the firm’s regional growth strategy, giving it direct access to the kingdom’s substantial insurance and reinsurance market.

The reinsurance licence, granted by the Saudi Central Bank (SAMA), allows Lockton to operate as a licensed reinsurer within the kingdom. This authorisation enables the company to provide reinsurance capacity to primary insurers operating in Saudi Arabia, support the development of risk management solutions, and participate in the country’s broader financial sector growth under Vision 2030.

Saudi Arabia’s Reinsurance Landscape

Saudi Arabia’s insurance market has experienced consistent growth over the past decade, driven by economic expansion, regulatory developments, and increasing awareness of risk management across both corporate and consumer segments. The kingdom’s mandatory health insurance requirements, growing motor insurance market, and expanding construction and energy sectors have created substantial demand for reinsurance capacity.

The Saudi Central Bank has been working to strengthen the regulatory framework governing the insurance sector, implementing reforms that have enhanced market stability and encouraged greater participation from international insurers and reinsurers. These regulatory improvements have made Saudi Arabia an increasingly attractive destination for global insurance operators seeking to establish or expand their regional presence.

Local reinsurers currently dominate the Saudi reinsurance market, though international capacity remains crucial for managing large-scale risks, particularly in the energy, construction, and property segments. The entry of established global brokers like Lockton brings additional expertise and capacity to serve the evolving needs of Saudi insurers.

Mohammed Al Rowais to Lead Operations

Lockton has appointed Mohammed Al Rowais as CEO for its reinsurance operations in Saudi Arabia. In this newly created role, Al Rowais will be responsible for establishing the firm’s reinsurance capabilities, building relationships with local insurers, and developing risk solutions tailored to the Saudi market. His leadership will focus on leveraging Lockton’s global expertise while adapting services to meet the specific requirements of Saudi Arabian businesses and regulators.

Al Rowais brings extensive experience in the insurance and reinsurance sector, with particular expertise in the Middle East market. His appointment reflects Lockton’s commitment to placing experienced regional leaders at the helm of its new operations, ensuring that the firm understands local market dynamics and can navigate the regulatory environment effectively.

Strategic Importance of the Saudi Market

The establishment of Lockton’s reinsurance operations in Saudi Arabia aligns with the broader economic diversification goals outlined in Vision 2030, Saudi Arabia’s strategic framework for reducing dependence on oil revenues. The financial services sector plays a central role in this vision, with insurance identified as a priority growth area alongside banking, capital markets, and fintech.

The Saudi insurance market has been expanding at a compound annual growth rate that outpaces many other Middle Eastern markets. Mandatory insurance lines, including health insurance for expatriates and workers, have created a broad base of primary insurance demand that generates substantial reinsurance requirements. Additionally, the kingdom’s ambitious infrastructure development programme, including projects under the National Transport Strategy, continues to create significant insurance and reinsurance opportunities.

For Lockton, the Saudi licence completes a significant gap in its Middle Eastern footprint. The firm had previously established strong positions in other Gulf Cooperation Council markets, but Saudi Arabia’s size and strategic importance made securing a direct presence a priority. The reinsurance licence enables Lockton to offer comprehensive services to clients throughout the region while supporting the development of the Saudi insurance market.

Implications for the Regional Insurance Market

Lockton’s entry into the Saudi reinsurance market adds capacity and competition to a sector that continues to mature. The firm’s global expertise in specialty lines, including energy, construction, marine, and casualty insurance, positions it to serve the complex risk management needs of major Saudi corporations and government entities.

Industry observers note that increased participation from established international reinsurers can benefit the broader market by bringing greater technical expertise, introducing innovative risk solutions, and supporting the development of local talent through knowledge transfer. As Saudi Arabia aims to develop a more sophisticated and diversified financial services sector, the presence of global insurance leaders contributes to achieving those objectives.

The appointment of Saudi nationals to leadership roles within international insurance firms also supports the kingdom’s goals of developing local talent and expertise in the financial services sector. Al Rowais’s position as CEO of Lockton’s Saudi reinsurance operations exemplifies this localisation trend, combining international best practices with deep understanding of the local market.

Looking Ahead

Lockton’s expansion into Saudi Arabia marks a significant step in the firm’s long-term growth strategy for the Middle East. The combination of a reinsurance licence and experienced local leadership creates a foundation for building meaningful operations in the kingdom’s insurance market. As the firm establishes its new presence, industry participants will be watching to see how Lockton leverages its global capabilities to serve the Saudi market and compete with established regional players.

The Saudi insurance and reinsurance market is expected to continue its growth trajectory, supported by economic expansion, infrastructure investment, and ongoing regulatory development. For international insurers and reinsurers, Saudi Arabia represents one of the most promising markets in the region, and Lockton’s entry underscores the kingdom’s importance to global insurance firms seeking growth opportunities outside traditional markets.