Muscat: The event brought together key stakeholders to explore how Oman can adopt similar initiatives to enhance the efficiency and confidence in its real estate sector.
The workshop featured a comprehensive presentation on Saudi Arabia’s successful implementation of hidden defects insurance, shedding light on the system’s benefits, challenges, and mechanisms for execution. Discussions also centered on fostering collaboration between government agencies and private sector players to create a conducive environment for introducing innovative insurance solutions tailored to the needs of Oman’s growing real estate market.
Ahmed bin Ali Al Maamari, Deputy CEO of the FSA, emphasized the urgency of introducing hidden defects insurance for developers, financiers, owners, and tenants, citing Oman’s exceptional urban development. He highlighted the significant contribution of the construction sector to Oman’s GDP, which stood at 9.1% in 2023, underscoring the importance of hedging investments in the sector through robust insurance products.
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He also stressed the role of the insurance sector in mitigating risks across economic domains and ensuring financial sustainability.
Adding depth to the discussion, Mohammed bin Ibrahim Al-Malhem, Undersecretary of the Ministry of Municipalities and Housing in Saudi Arabia, shared insights into Saudi Arabia’s approach. He detailed how automating the construction journey and refining insurance products have elevated building quality and ensured sustainability.
The session concluded with a dynamic discussion among participants from Oman and Saudi Arabia, delving into the core features and advantages of latent defect insurance. Experts underscored the potential of such products in addressing hidden construction issues that compromise building integrity due to design, material, or construction errors.
The workshop, attended by representatives from Oman’s public and private sectors, highlighted the critical importance of innovation and collaboration in shaping a resilient real estate market.
