The Ministry of Culture and Insurance Authority of Saudi Arabia have signed a new agreement to boost cultural insurance, protecting heritage and valuable cultural assets.
Culture Ministry and Insurance Authority Sign MoU
The Ministry of Culture has signed a Memorandum of Understanding (MoU) with the Insurance Authority to strengthen cooperation in the field of cultural insurance. This agreement aims to protect Saudi Arabia’s cultural heritage and promote insurance products tailored for the cultural sector.
Study of Sector Needs and Product Development
One of the main goals of the agreement is to study the cultural sector’s insurance needs. Based on this study, new insurance products will be created to suit the sector. These products will help preserve cultural assets and ensure protection against losses.
Standards for Evaluating and Restoring Cultural Assets
The MoU also includes setting up clear standards for evaluating and restoring cultural properties. These standards will ensure that insurance companies follow consistent and compatible methods when dealing with cultural assets.
Exchange of Knowledge and Data
The two parties have agreed to share data, experiences, and insights to improve the cultural insurance market. This step is expected to build a stronger framework for protecting Saudi Arabia’s rich cultural heritage.
Agreement Builds on 2024 Partnership
This MoU follows a cooperation agreement made in April 2024 between the Ministry and the Authority. That agreement led to the launch of the first cultural insurance product in the country. It supports cultural activities and protects high-value assets.
Types of Cultural Insurance Coverage
The cultural insurance plan includes several types of coverage, such as:
- Heritage building insurance
- Artwork insurance
- Third-party damage insurance
- Business interruption insurance
Insurance for Heritage Buildings
The first part of the cultural insurance product focuses on heritage buildings. These are classified as archaeological, historical, or heritage structures. The insurance is tailored to meet the unique needs of such buildings in terms of risk, restoration, and value assessment.
Coverage for Art, Exhibitions, and Collectibles
The second part of the plan includes coverage for a wide range of cultural assets. These include art pieces, exhibitions, antiques, and other valuable collectibles. Insurance extends to their storage, display, and transportation.
Approval Process for Insurance Companies
Insurance companies can apply to the Insurance Authority for approval to issue cultural insurance policies. This process helps ensure all policies meet regulatory standards and cultural preservation goals.
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