What is Takaful Insurance?
Takaful represents a cooperative insurance model that aligns with Islamic principles, where participants pool their resources to safeguard against potential losses or damages. This system operates under strict adherence to Sharia, the Islamic religious law, which mandates mutual assistance and protection among members. The scope of Takaful includes coverage for health, life, and other general insurance requirements.
Introduced as a Sharia-compliant option, Takaful insurance counters the conventional insurance industry, which often conflicts with Islamic teachings against riba (interest), al-maisir (gambling), and al-gharar (excessive uncertainty).
Takaful insurance key insights Takaful embodies a cooperative