Khuzam Palace is one of the palaces of Al-Ahsa region. This palace was built at the southwestern entrance to Al-Hofuf in Al-Naathil district in 1207 AH – 1210 AH during the era of Imam Saud bin Abdul Aziz Al-Kabir. The idea of building it on that site is considered as military protection from the Badia camps that settle on that site during specific seasons every year. The nomadic Bedouins come to Al-Ahsa to buy their supplies.
The name Khuzam Palace is due to the word Khuzam in the Arabic language, which means the reins by which a camel is led.