|Takaful, retakaful and finance related books|
Takaful and Mutual Insurance: Alternative Approaches to Managing Risks
Insurance plays a positive role in economic develoment, but some of its traditional products are inhibiting in some cultural settings. This book explains the development of a hybrid model. Takaful (which means "cooperative") is intended to deal with three prohibited or haram practices under Islam: the payment of interest (riba), the existence of uncertainty in a stransaction (gharar), and gambling (maysir). The primary intent of this relatively recent entry to world insurance markets is to provide a core service to Muslims and others who have religious or ethical objections to conventional commercial insurance models. A secondary intent is to develop a model that deals with the capital challenges that have faced mutual insurers in the West and the subsequent decline of the mutual business model. Two realities -- the uneven approaches to takaful and the economic potential that its availability is releasing -- mean that it is especially important to facilitate debates that promote an understanding of takaful. This book, while not attempting to take on a role belonging to Sharia lawyers and regulators in Islamic countries, provides a comprehensive overview of mutual insurance structures, including Christian and Jewish examples as well as other hybrid models, to provide a broad overview of the universe of operating models and present ideas for moving forward. It also explores avenues for further opportunities, including the application of takaful to microinsurance markets in emerging countries with large Muslim populations.
Now available online at publications.worldbank.org
World Islamic Insurance Directory 2012
The new 6th edition of the World Islamic Insurance Directory is a useful reference guide which gives a much-needed snapshot of the operators in the dynamic takaful arena, is now growing in importance in the global insurance markets.
The directory captures key corporate information of more than 195 takaful and 14 re-takaful operators spread over 34 jurisdictions worldwide, with the industry recognised as a potential growth area in the insurance sector and Islamic finance industry as a whole.
Now available online at www.meinsurancereview.com
Takaful: A study guide
This book is written in simple and plain English, thus would readily appeal to the general reader and beginners in this line of business. Takaful is also alternatively termed as ‘Shariah-compliant insurance' or ‘Islamic insurance', and therefore it has to comply to the requirements of Shariah rather strictly. The book leads the reader into the concept and theory of Takaful, its early beginnings and how it has developed into a significant part of the overall Islamic finance industry, and eventually the practices and regulatory issues affecting this business.
The book is made up of 390 pages covering 13 chapters and is only available in hard copy. Interested purchasers please e-mail full postal address to ascertain delivery cost. For volume purchases, bulk discount is available.
World Islamic Insurance Directory 2011
The new 5th edition of the World Islamic Insurance Directory is a useful reference guide which gives a much-needed snapshot of the operators in the dynamic takaful arena, is now growing in importance in the global insurance markets.
The directory captures key corporate information of more than 180 Islamic insurance companies, windows and retakaful operators in more than 30 countries.
Copies of the 5th Edition are available online at www.meinsurancereview.com
Opportunities for Takaful (Islamic Insurance)
"Takaful is an Islamic insurance concept which is grounded in Islamic muamalat (banking transactions). 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 mutual insurance.
Takaful is the Islamic counterpart of conventional insurance, and exists in both life and general forms. It is based on concepts of mutual solidarity, and a typical Takaful undertaking will consist of a two-tier structure that is a hybrid of a mutual and a commercial form of company. This in itself poses significant issues for regulation and supervision. In addition, all the functions of a Takaful undertaking should conform fully to Islamic Shari'a law and this has implications in other areas of regulation and supervision. Takaful is based on principles of Ta-awun or mutual assistance that is Tabarru or voluntarily. In a way Takaful is similar to conventional cooperative insurance whereby participants pool their funds together to insure one another.
The concept of mitigation of risks by adopting the law of large numbers was widely used in Islam and especially in the practice of "al-aqilah". Under the custom of "al-aqilah", it is mutually agreed that if a person is killed unintentionally by another person, the paternal relatives will take the responsibility to make a mutual contribution for the purpose of paying the blood money to the victim's relatives. This practice of having a fund that pools contributions from a group of people to assist others in need is akin to insurance. However, to be acceptable to Islam, any form of insurance should avoid the elements of riba or interest payment, maisir or gambling and gharar or uncertainty, though elements of gharar may be forgivable depending on the circumstances.
Takaful is derived from an Arabic word which means solidarity, whereby a group of participants agree among themselves to support one another jointly against a defined loss. In a Takaful arrangement, the participants contribute a sum of money as wholly or partially tabarru meaning donation into a common fund, which will be used mutually to assist the members against a defined loss or damage. Takaful has evolved into a viable alternative to conventional insurance and is able to attract a wide range of customers, Muslim and non-Muslim alike.
"Principles of Takaful". The principles of Takaful are as follows:
- Policyholders co-operate among themselves for their common good.
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Takaful Markets & Products: A Reference Manual
The global market for Takaful products is one of the most exciting and high potential sectors within international financial services today. With the industry still in a nascent stage of development, significant growth has been witnessed over the past five years. Crucially, this has meant accessibility for millions of Muslims to wide ranging risk protection products without the need to compromise religious beliefs.
However the Takaful industry faces significant challenges in its continued quest for growth. One such challenge is that of education and awareness. To play a small, but we hope significant, part in the effort towards greater understanding of Takaful products REDmoney books have published a comprehensive training reference and education manual.
Covered in the manual will be the following vital topics:
For more information of how to purchase the Takaful Markets & Products: A Reference Manual, please visit
World Islamic Insurance Directory 2009
The World Islamic Insurance Directory is a much needed snapshot of the operators in the dynamic takaful arena and underscores the growing importance of this segment in the global insurance markets.
A practioners' reference guide, this directory captures key corporate information of more than 160 Islamic insurance companies across 23 countries.
For more information of how to purchase the World Islamic Insurance Directory 2009, please visit
“What’s Takaful”: A Guide To Islamic Insurance
BISC Group is proud to launch “What’s Takaful”, the first comprehensive reference book about Takaful published from the Middle East. This unique and easy-to-read publication introduces the concepts, operational methods, models, products, regulatory framework, service providers and markets of Takaful.
With its recent, up-to-date statistics, illustrative figures and schemes, in addition to direct contributions from experts, this book is handy to both Muslims and non-Muslims in pursuit of a viable investment opportunity.
Overview of Insurance . History of Takaful . Takaful Regulatory & Shariah Framework . Structure and Models of Takaful . Key Products & Services . Market Trends & Main Providers . Takaful in Muslim Minority Markets . Re-Takaful . Future Prospects & Opportunities
EVERYTHING YOU NEED TO KNOW ABOUT TAKAFUL & RE-TAKAFUL
-A simplified educational guide
Directory of Islamic Insurance Companies
Based on its commitment of serving the insurance industry, Arab Insurance Group (Arig) in cooperation with its recently launched subsidiary, Takaful Re Ltd (TRL), take pleasure in presenting the first-of-its-kind ‘Directory of Islamic Insurance Companies’.
This Directory encapsulates details of most of the companies operating under the Takaful and Cooperative framework across 27 countries. 75 companies have been surveyed in this edition.
The Directory represents the most current information, which was primarily sourced from the respective companies through the completion of a comprehensive questionnaire. However, in some instances, the data was sourced from the latest annual reports and publications of regulatory authorities and insurance federations.
Islamic Insurance:Trends, Opportunities and the future for Takaful
The book draws together the views and experience of the world's leading experts and industry players to provide in-depth insights into the global opportunities and challenges facing the Islamic insurance industry.
Edited by the best-selling author Sohail Jaffer with contributions from 21 specialist contributors, this is the only book to explore every aspect of Islamic Insurance.
Topics covered include:
Takaful models and their development
There is a 10% discount on Islamic Insurance when you use the promotional code ISIN10 (this is also at the bottom of the enclosed brochure). If you visit the web site www.euromoneyplc.com register and then enter the promotional code in the shopping basket facility, you will see the discount. Euromoney are also offering a 25% discount when you purchase 3 or more titles in their books range.
Islamic Finance in the Modern World: Economic and Legal Aspects
Applied Takaful and Modern Insurance (Law and practce) 3rd edition
This book makes available in clear and succinct language a comparative treatment of the principles and practices of Takaful and modern insurance.
The comparison of the regulatory and practical considerations in the two systems brings up the differences between and coincidence of both systems to facilitate the better appreciation of the systems which run in parallel to cover the various risks faced in life today.
Shari’ah Standard of Quantum of Damages in Insurance (A Handbook for the Actuaries and Accountants)
In the 21st Century’s reality, Takaful (Islamic insurance scheme) is one of the promising and developing areas in the applied socio-economic environment. It is a Shari'ah justified financing scheme adapted in the economy as an alternative to the conventional one. Nevertheless, it is not impossible in practice that, the Takaful operations invoke certain aspects, which might have a resemblance to that of the modern practices. It does not mean that every mechanism of modern insurance is impossible to be justified by Shari’ah principles. The principles adapted in quantum of damages (third party claim) against bodily injury or accidental death is currently indemnified by the Takaful operators is inter alia, the above phenomenon in question. It is quite clear that, the indemnification is provided for the victim of bodily injury or death under Islamic law is determined basically based on the principles of al-Daman (compensation) and al-Diyah (blood-wit). But for quantum of damages (third party claim) in Takaful practices of today, whether the doctrines of al-Diyah and al-Daman are in fact, adapted or not is desired to be examined, and if not, what are the possibilities for the Takaful operators to apply the doctrines of al-Diyah and al-Daman in its quantum of damages (third party claim). An attempt has however, made in this manuscript, to come up with the possibilities of appreciation of the doctrines of al-Diyah and al-Daman in quantum of damages (third party claim) against an accidental death or bodily injury for the claim of both general and also special damages.
Modern Financial Transactions under Shari’ah
The book begins with the discussion of general ethics in business transactions according to Islamic teachings. The reader is then introduced with the nature of transactions in general, classification of contract, parties thereto, subject matter of contract as well as the formalities required for the conclusion of contract. The author also explores the issue of intention and consent of parties, while the freedom of contract under Islamic law, is given special treatment.This work provides a text-reading package on regulatory frameworks of Islamic finance i.e. work is also a useful guide on Islamic financial contracts for practitioners in the Islamic commercial institutions of the contemporary markets.
Islamic and Modern Insurance (Principles and Practices)
The modern world is mainly dominated by the rapid development of economic thought and practices accompanied by advancement in science and technology. Nevertheless, despite such monumental developments, little can be done actually to save one from encountering unpredicted risk, be it against one’s life, property, or a business venture. The majority of people agree that insurance greatly contributes to providing necessary economic security against unexpected catastrophes. The idea of insurance has been developed under Common Law without much diversification, both in principle and practices, but unfortunately, a similar scenario has not been witnessed so far under the noble teachings of Islam. It would be unfair for one to oppose the entire idea of insurance, while making no effort to come up with an alternative model of insurance, which may be justified by the Shari’ah. An attempt is therefore, made in this work to analyze the practical as well as legal ideas of Takaful (Islamic insurance) and modern insurance with a comparative treatment.The core objective of this comparative study is to contribute towards further understanding of the conceptual frameworks of both Takaful and insurance, so that the world community would be able to appreciate and recognize the Takaful (Islamic Insurance) as a suitable alternative model to the conventional insurance. It may simultaneously act as one of the promising instruments that significantly contribute in the facilitation of the process of Islamization of law and practices, affecting the insurance industry globally, as it has been gladly expected by the contemporary Muslim Ummah in their ongoing economic reality.
Islamic Law of Trade and Finance (A Selection of Issues)
Development in trade and commercial activities under Shari’ah principles without parallel development of laws can result in destructive experience. Therefore, an attempt has been made in this research to come up with a piece of work on Islamic Law affecting some selected issues of contemporary trade and financial practices. This work deals with the issue of "Invitation to Treat" under Islamic and Common Law principles. Specific issues such as the comparison between Khiyar al-‘Arb, and caveat emptor, and also the grounds for the dissolution of partnership with a comparative treatment. The reader is also introduced with the issue of earnest money (Bay’ al-‘Urban) in financial security. The Book also discusses Halal stocks, and the Shari’ah mechanisms of determining stocks. The writer also explores the idea of Islamic Dinar as an alternative medium of exchange for Muslim countries. Islamic models of insurance i.e. the concept of Takaful in general and family or Islamic life insurance has also been analyzed in this manuscript. The study ends with an intellectual discussion on Zakat as an able alternative to the modern social security and finally a rediscovery has been made with an Islamic common market in today’s reality.
Islamic Insurance (Takaful)
Conceptually, an insurance scheme is a joint-guarantee to provide possible indemnity or contingency against pure risk resulting from an unexpected occurrence of loss or damage to one’s life or property. Under the modern practices, the notion of insurance is well established without any confusion. Even though a conventional model is unacceptable as far as the Shari’ah is concerned, an insurance practice could still become acceptable in the Muslim society with the availability of its Shari’ah justified model, (based on the principle of al-Mudharabah, al-Tabarru’, al-Wakalah, and so on), which may act as an able alternative to that of the conventional counterpart. Unfortunately, there is still diversification of views among the Ulama on the validity of practices of Takaful. Some of them accept the model (based on al-Mudharabah financing technique, al-Wakalah, and al-Tabarru’). Some accept the practice of general insurance but oppose the practice of life insurance while others oppose the notion of insurance entirely without giving an alternate solution to it. An Islamic model of insurance is, inter alia, based on the principles of ‘al-Mudharabah financing technique, al-Tabarru’, al-Wakalah, and so on. This model is also in harmony with the principles of ‘al-Mirath’ and ‘al-Wasiyyah’ in the sense that, the beneficiary in a policy under the Islamic model is always determined in accordance with these two Divine principles. An Islamic insurance is also a mutual financing technique and a scheme of joint-guarantee in initiating for a protection of the participant against an unexpected loss or damage, which could serve as an alleviation of one’s material hardship. Such a move may contribute to a sustainable welfare of the contemporary society. The chief concept of insurance is that, it is a technique of mutual financial co-operation, which is of course in line with the Qur’anic principles of mutual cooperation. This manuscript has however, explored the very conceptual frame work of Islamic insurance (Takaful), which may suit the contemporary world of advanced-economy. It is also hoped that, this research may help the Muslim Ummah in general in understanding the central idea of Takaful in a practical nature from the Shari’ah point of view. So that further doubt and confusion on the idea of Takaful among Ummah will be cleared and may simultaneously benefit from the practices of Takaful, Inshaa-Allah (s.w.t.).
Manual of Principles and practices of Takaful and Retakaful
Principles and practices of Takaful and insurance compared
Insurance in Islamic Law