ABSTRACT
As the stronghold of Islam where the Shari’a is the supreme law of the land, Saudi Arabia would have been expected to tackle the problem of insurance by establishing a scheme of ‘Islamic’ insurance following in the footsteps of countries like Malaysia. In actual fact, commercial insurance companies cannot be set up and registered in Saudi Arabia, and no insurance regulations have been enacted – except certain provisions concerning marine insurance in the Commercial Court Regulations1 from which the validity of insurance transactions in the Kingdom are inferred.
