Media Centre

Saudi: Civil Defense requires third-party insurance for licensing and renewals of certain activities

RIYADH — The General Directorate of Civil Defense emphasized the importance of obtaining the approved insurance product of third-party cooperative insurance when issuing or renewing licenses for high-risk or densely populated activities.

This was part of the directorate’s role in enhancing public safety and risk prevention requirements, as well as raising the level of entities’ compliance with regulatory requirements.

The first phase covers chemical warehouses, used-oil storage activities, hazardous medical-waste storage activities, wholesale activities for all types of wood, general warehouses containing a variety of goods, car-tire warehouses, paint manufacturing, and manufacture of industrial detergents, in accordance with the relevant regulations and procedures, as insurance is one of the essential requirements for completing the licensing process.

The requirement aims to ensure that establishments are prepared to meet approved regulatory requirements, protect the rights of individuals, establishments and their stakeholders, and reduce the financial burdens that may arise from accidents.

The General Directorate of Civil Defense also stressed the importance of establishments and activities covered by the first phase fulfilling the requirements for obtaining third-party cooperative insurance before applying for the issuance or renewal of a license, thereby strengthening integration among preventive, regulatory and insurance aspects