Takaful is a Shariah compliant way of safeguarding yourself and your family against future financial losses. A takaful product assists participants to share their risk on the basis of cooperation, brotherhood, mutuality, and solidarity for common good. Key components of Takaful are as follows:
Individuals in the community come together on a common platform and contribute into a Waqf Fund, operated by a Takaful Operator (us), to protect themselves against future financial losses.
The Takaful Operator acts as an ‘administrator’ of the Waqf Fund and carries out its role in the form of a Wakeel (Manager);
Any participant who suffers or incurs a financial loss is compensated from the Waqf Fund.
At the end of every year, any excess amount (Surplus) left in the Waqf Fund after paying off claims and meeting expenses may be distributed amongst the participants as per the advice of the Shariah Advisor and the Appointed Actuary.