2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia

Bibliographic Details
Format: General Document
_version_ 1860798164579123200
building INTELEK Repository
collection Online Access
collectionurl https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection3
copyright Copyright©PWB2025
country Malaysia
date 2024-02-08
format General Document
id 16250
institution UniSZA
originalfilename EXPLORING A BROADER APPLICATION OF TA’AWUN IN TAKAFUL_ THE CASE OF SURPLUS SHARING WITH OTHER TAKAFUL OPERATORS IN MALAYSIA (MASTER_2023).pdf
person Nur Suhailah Zakiyyah Binti Aziz
recordtype oai_dc
resourceurl https://intelek.unisza.edu.my/intelek/pages/view.php?ref=16250
sourcemedia Server storage
Scanned document
spelling 16250 https://intelek.unisza.edu.my/intelek/pages/view.php?ref=16250 https://intelek.unisza.edu.my/intelek/pages/search.php?search=!collection3 General Document Malaysia Library Staff (Top Management) Library Staff (Management) Library Staff (Support) Terengganu Faculty of Business and Management English application/pdf 1.5 Server storage Scanned document Universiti Sultan Zainal Abidin UniSZA Private Access Universiti Sultan Zainal Abidin SAMBox 3.0.10; modified using iTextSharp™ 5.5.10 ©2000-2016 iText Group NV (AGPL-version) Copyright©PWB2025 136 2024-02-08 EXPLORING A BROADER APPLICATION OF TA’AWUN IN TAKAFUL_ THE CASE OF SURPLUS SHARING WITH OTHER TAKAFUL OPERATORS IN MALAYSIA (MASTER_2023).pdf Nur Suhailah Zakiyyah Binti Aziz Broader Application Ta’awun In Takaful Case Of Surplus Sharing Takaful Operators In Malaysia Takaful—Malaysia—Surplus Sharing Ta'awun (Cooperation) in Islamic Finance Takaful Operators—Malaysia—Collaboration Islamic Finance—Cooperative Principles Islamic Finance—Ethical Insurance Practices 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia Tabarru’ in takaful is an arrangement by the participants to forego a specific contribution, which they commit to contribute to the takaful fund to fulfill the mutual obligation of supporting each other in the case any of the participants suffer losses. Although the concept of tabarru’ has been widely used as an alternative solution to the existing conventional insurance system, many contentious Shariah issues still arise in applying tabarru’ for takaful. The Bank Negara Malaysia (Central Bank of Malaysia) recently published a discussion paper on ta'awun that emphasized several aspects, such as using surplus generated in takaful funds for donations or financial assistance to third parties not among the existing participants. This issue requires study and investigation from Shariah and regulatory perspectives. Thus, this study aims to explore the general application of ta’awun in takaful and to examine the application of ta’awun in surplus sharing with other takaful operators. The study uses a qualitative semi-structured interview method with experts to collect the primary data. A thematic analysis approach is employed to explore the qualitative data. The study finds that surplus can be shared with other takaful operators after obtaining consent from the participants. Also, a few other practices can be actualized, such as providing qard al-hasan (interest-free loan), the threshold to the surplus, and establishing cross-ta’awun agreements with new participants. It concludes, sharing surplus with other participants requires the takaful operator not to negate the rights of the existing takaful participants. The study recommends further research on revising the aqd of the new product, unifying the tabarru’ contract, and adjusting regulatory frameworks and guidelines. Dissertations, Academic Thesis
spellingShingle 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
state Terengganu
subject Takaful—Malaysia—Surplus Sharing
Ta'awun (Cooperation) in Islamic Finance
Takaful Operators—Malaysia—Collaboration
Islamic Finance—Cooperative Principles
Islamic Finance—Ethical Insurance Practices
Dissertations, Academic
summary Tabarru’ in takaful is an arrangement by the participants to forego a specific contribution, which they commit to contribute to the takaful fund to fulfill the mutual obligation of supporting each other in the case any of the participants suffer losses. Although the concept of tabarru’ has been widely used as an alternative solution to the existing conventional insurance system, many contentious Shariah issues still arise in applying tabarru’ for takaful. The Bank Negara Malaysia (Central Bank of Malaysia) recently published a discussion paper on ta'awun that emphasized several aspects, such as using surplus generated in takaful funds for donations or financial assistance to third parties not among the existing participants. This issue requires study and investigation from Shariah and regulatory perspectives. Thus, this study aims to explore the general application of ta’awun in takaful and to examine the application of ta’awun in surplus sharing with other takaful operators. The study uses a qualitative semi-structured interview method with experts to collect the primary data. A thematic analysis approach is employed to explore the qualitative data. The study finds that surplus can be shared with other takaful operators after obtaining consent from the participants. Also, a few other practices can be actualized, such as providing qard al-hasan (interest-free loan), the threshold to the surplus, and establishing cross-ta’awun agreements with new participants. It concludes, sharing surplus with other participants requires the takaful operator not to negate the rights of the existing takaful participants. The study recommends further research on revising the aqd of the new product, unifying the tabarru’ contract, and adjusting regulatory frameworks and guidelines.
title 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
title_full 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
title_fullStr 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
title_full_unstemmed 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
title_short 2023_Exploring A Broader Application of Ta’awun in Takaful: The Case of Surplus Sharing with Other Takaful Operators in Malaysia
title_sort 2023_exploring a broader application of ta’awun in takaful: the case of surplus sharing with other takaful operators in malaysia