Name : Humaira binti Ahmad Section : 1

Matric number : 1621646 Note : 4 Types of Takaful Business

Takaful Business

Type of
Management
Business Family takaful that provides a
Cooperative or mutual
combination of long-term
takaful whereby the
savings and protection for
participants themselves
participants and their
manage and accountable for
dependents arising from
the takaful scheme
death, disability or survival

Takaful Tijari or commercial

takaful whereby
General takaful focuses on a
management of takaful
short-term protection of
scheme is undertaken by
properties and liabilities
separate entity specifically
against any loss or damage.
appointed for this purpose
known as takaful operator

Types of Business

Family Takaful General Takaful

a family takaful plan is a combination of long- All takaful business which is not
term investment and mutual financial family takaful business.
assistance scheme.

Coverage Ordinary family, annuity, investment-link, Property, vehicles

Renewable Automatic until maturity Yearly renewable

Maturity Long term; more than a year Short term: less than one year
death or 70/80 years old

Account PA and PSA GT

Example Individual family takaful plans; Fire Takaful Scheme;

Takaful mortgage plans; Motor Takaful Scheme;
Takaful plans for education; Accident/Miscellaneous Takaful
Group takaful plans; and Scheme;
Health/Medical takaful. Marine Takaful Scheme; and
Engineering Takaful Scheme
 Objectives of Objectives of
Family Takaful General Takaful

For saving regularly for a mutual financial help on a

fixed period. short-term basis

To obtain investments provides coverage on

returns which in accordance property against loss or
to Syariah damage

provides coverage against

loss or damage to the
To help the beneficiaries to
participant’s own vehicle or
get coverage in the event of
to third party bodily injury or
death prior to maturity
death, third party property
loss or damage

Family Takaful Based on IFSA

A licensed takaful operator should not handled both General and

Family Takaful except for licensed profesional retakaful operator

a family takaful certificate where the takaful participant’s address,

is or was an address in Malaysia

A minor who has attained the age of sixteen years shall obtain the
consent in writing of his parent or guardian

Any licensed takaful operator commits an offence should be liable

to imprisonment for a term not exceeding eight years or to a fine
not exceeding twenty-five million ringgit or to both
 Example of Family Takaful

• -Mortgage
-Health
-Education
Individual -Travel
-Family plan
-Waqaf

• -Group family
Group Plan -Group medical

• -Employees Provident Fund

Annuity -Retirement

General Takaful
The contribution that a participant pays
into the general takaful fund based on
tabarru'.
Net surplus in the general takaful fund,
shall be shared between the participant
and the operator in accordance with the
principle of al-Mudharabah, provided
that the participant has not incurred any
claim and/or not received any benefits
under the general takaful certificate.

Main Categories of General Takaful:

Personal accident takaful -Provides compensation in the event of death, disable or injuries that may
happened because of an accident.

Engineering takaful -Consist the coverage for machinery breakdown, loss or damage due to machinery
breakdown, boiler and pressure vessel, as well as plant and machinery being erected.

Contractors’ all risk takaful -Covers any loss or damage during construction and maintenance period
including third party liability.

Employers’ liability takaful - Indemnifies damages and/or injury borne by employees during employment.

Public liability takaful - Provides compensation against any legal liability incurred for bodily injury to third
parties or damage to their property