Takaful Overview
Takaful ( التكافل) is an Islamic insurance concept which is grounded in Islamic muamalat (Islamic banking), observing the rules and regulations of Islamic law. This concept has been practised in various forms for over 1400 years.Muslim jurists acknowledge that the basis of shared responsibility in the system of aquila as practised between Muslims of Mecca and Medina laid the foundation of takaful.
It is a mutual sharing of risk based on the concept of Taawun (Mutual Protection).The difference between Takaful and conventional insurance rests in the way the risk is assessed and handled, as well as how the Takaful fund is managed. Further differences are also present in the relationship between the operator and the participants. In risk assessment (underwriting) and handling, Takaful do not allow what is called Gharar (uncertainty or speculation) and Maisir (i.e. gambling). In investment or fund management Riba (i.e. usury) is also not allowed.
Whilst risk is nature of human life, it is impossible to eliminate this nature from human life. What is not allowed in Islam is not the risk or uncertainty itself (so it need to be eliminated) - but selling or exchange of risk or risk transfer to the third party using sales/exchange contract that is not allowable. On the other hand helping each other in any situation including in the event misfortune is highly encouraged in Islamic teaching as Allah mentioned in the Qur’an.
“….Help you one another in Al Birr and At Taqwa (virtue, righteousness and piety); but do not help one another in sin and transgression….’(Al-Maidah : 2).
Sharing the risk with the purpose to help each other is therefore recommendable.
It is a mutual sharing of risk based on the concept of Taawun (Mutual Protection).The difference between Takaful and conventional insurance rests in the way the risk is assessed and handled, as well as how the Takaful fund is managed. Further differences are also present in the relationship between the operator and the participants. In risk assessment (underwriting) and handling, Takaful do not allow what is called Gharar (uncertainty or speculation) and Maisir (i.e. gambling). In investment or fund management Riba (i.e. usury) is also not allowed.
Whilst risk is nature of human life, it is impossible to eliminate this nature from human life. What is not allowed in Islam is not the risk or uncertainty itself (so it need to be eliminated) - but selling or exchange of risk or risk transfer to the third party using sales/exchange contract that is not allowable. On the other hand helping each other in any situation including in the event misfortune is highly encouraged in Islamic teaching as Allah mentioned in the Qur’an.
“….Help you one another in Al Birr and At Taqwa (virtue, righteousness and piety); but do not help one another in sin and transgression….’(Al-Maidah : 2).
Sharing the risk with the purpose to help each other is therefore recommendable.
Shariah Supervisory Board of DFTL
This is the most integral department of any Takaful Company as it is responsible for giving approval for the launch of any new product, scheme or structuring/participating in any transaction in terms of it being in the scope and parameters of Islamic Principles. Our Shari'ah Advisors consist of eminent Islamic economic and financial scholars.
1- Professor Mufti Muneeb ur Rehman (Chairman)
2- Mufti Syed Zahid Siraj
3- Mufti Syed Sabir Hussain
1- Professor Mufti Muneeb ur Rehman (Chairman)
2- Mufti Syed Zahid Siraj
3- Mufti Syed Sabir Hussain
Our Innovative & Market-Based Products
In view to remain competative, we shall continue to introduce innovative and market based customer-centric Family Takaful products, catering to both groups and individuals that would feature distinctly from other protection plans available in the market. . Each product may be extended to include supplementary benefits which are optional:
1- Samar (Child Education & Marriage)
2- Salamti(Protection and Saving)
3- Sukoon (Retirement)
4- Salamti Salary Saving (Monthly plan for Companies & Groups)
1- Samar (Child Education & Marriage)
2- Salamti(Protection and Saving)
3- Sukoon (Retirement)
4- Salamti Salary Saving (Monthly plan for Companies & Groups)