FAQs

 

Family Takaful Plan offers benefits and life insurance coverage to your long-term savings. You or your heirs will benefit in monetary terms if you had an accident. At the same time, you will enjoy long-term personal savings as part of your contribution will be deposited into a savings account for the purpose.

You can choose your own maturity plan and no forfeiture if you cancel your family takaful plan. You are also eligible to be exempted from income tax on your family takaful plan.

No, the Family Takaful plan is available to all individuals regardless his / her religious beliefs. No additional terms and conditions imposed on non-Muslim participants.

When you participate in the family takaful, you will contribute a sum of money to a common takaful fund. You will be entered into an agreement (aqad) for part of your contribution as participative contribution (tabarru ') and partly as a savings and investment. Your contribution in the form tabarru 'will be put into a special account funds Participants (AKP), which will be used to fulfill your responsibilities in helping each other if one of the participants misfortune such as the death or permanent disability. If you survive until the maturity date of the plan, you are entitled to share the net surplus of thefund, (if any). Operator will invest your savings and investment contributions in the Participant Account (AP) and the profit will be shared between you and the operator based on pre-agreed ratio.

The salient features of the Family Takaful are:

  1. Available to all individuals aged between 18 and 55 years.
  2. You have the option on maturity.
  3. No forfeiture in the event of cancellation
  4. Facilities for producing some of the contributions.
  5. Surplus sharing with takaful operators.
  6. To provide long-term savings and investments.

 

It is important that you understand the terms used in Family Takaful plan. If you are unsure of the meanings on these terms, you should ask your agent or the operator. As the certificate is a legal contract, the purposes set forth in the certificate will apply the claim.

Some of the important terms are:

  1. Contribution - This is an installment of your contribution shall be paid to the operator. You can choose to pay contributions monthly, quarterly, half-yearly or yearly.
  2. Grace period - You will be allowed a grace period of 30 days to pay installments Takaful contribution. If you die during the grace period, installments outstanding contribution shall be deducted from the amount of Takaful benefits you.
  3. Maturity - You can choose any maturity appropriate for your needs. The range is from 10 years to 40 years

Family Takaful plans typically do not cover the following points:

  1. Attempted suicide or intentionally self-inflicted injury either while you sane or insane.
  2. If you break the law.
  3. If you provoke an attack.
  4. If you are under the influence of drugs or alcohol.
  5. If you have AIDS or HIV.
  6. Other reasons prohibited by Shariah law.

You can choose to make your Takaful contribution by installments on monthly, quarterly, semi-annually or annually basis. Payment can be made through bank standing order, payroll deduction, and payment by cash or check at any branch of your takaful operator.

Yes, you are eligible for tax relief when you participate in Family Takaful plan. Your Takaful Operator will produce an annual contribution statement to support your income tax return to the Inland Revenue Board.

  1. Participant Account (AP)?
    Participant Account is an investment account for a part of your installment Takaful contributions has been credited for the purpose of saving and investment.
  2. Participants' Special Account (AKP)?
    Participants 'Special Account (AKP) is where the balance of your installment Takaful contributions have been credited as a contribution to participation (Tabarru') for the payment of Takaful benefits to any participant who suffered due to the death or permanent disability.

Claims must be notified in writing immediately to the Department of Family Takaful Claims as soon as the incident occurred.

  1. There are various types of claim : -
    1. Death Claim
    2. Expenses Instant Death
    3. Total Permanent Disability
    4. Hospital Benefit
    5. Exemption Benefit Contributions
    6. Critical Illness
    7. Family Income Benefit
  2. The evidence must be signed by the individual (s) entitled to claim, in which the benefits will be paid based on the following conditions: -
    1. Executor The statement must be completed and supplied by the nominee in the nomination form (s).
    2. Proposed Grant Evidence must be completed and supplied by people who will receive benefits. For cases involving children, the statement must be completed by a parent or legal guardian.
    3. Persons Mandated Evidence must be completed and provided by the People (their) job.
  3. Obtain and submit all the necessary documents to support your claim to the Department of Family Takaful Claims.
  4. All copies of documents to support your claim must be confirmed and supported / signed by the Commissioner of Oaths or Takaful operator personnel.
  5. All required documents must be supplied by the claimant on their own costs.

 

General Takaful is provided to give protection to participant for losses arising from perils such as accident, fire, flood, liability and burglary. For instance, insuring your hourse and belongings against fire or vehicles against accidental damage or theft. You will also be covered on your liabilites to others arising out of the law demand and it is compulsory in some cases like the motor third party takaful.

When you participate in the General Takaful plan you will be covered when something happens to the items that are being covered. For instance, if you participate in General Takaful for your house and it was damaged in a storm, your Takaful protection will cover the cost of repairing your house but as long as you are up to date on your Takaful certificate.

As a savvy consumer, you must shop around and compare prices from various Takaful companies.

There are 9 products of General Takaful offered by Takaful Operator in Malaysia namely Motor Takaful, Marine Takaful, Fire Takaful, Liability Takaful, Personal Accident Takaful, Fidelity Guarantee and Bonds, Aviation Takaful and Miscellaneous Accident Takaful.

There is no obvious difference between both practices except for; General Takaful is provided to provide a form of Shariah-compliant risk management via risk sharing to cover participants against financial losses due to misfortune occurring to their properties or their rights.

Anyone who owns an asset should participate in General Takaful as to protect it against losses due to fire, theft and etc. Each paricipant may also insure his / her dependents' health and well-being through hospitalization and personal accident certificates. The participants should be the one who will bear the financial losses if it's happen. This is called insurable interest.

Most general Takaful certificates are annual – that is, they last for one year. Some certificates are issued for longer periods – like Fire Takaful for residences – and some for shorter periods – like Takaful for goods transportation or for emergency medical treatment during foreign travel.

The amount to be covered for is called the sum covered. Normally Takaful certificate should cover the value of the asset – either the market value while insuring, or the cost of replacing the asset should it be lost or destroyed. The contribution will depend on the sum covered.

In case of an indemnity cover (one that seeks to compensate the actual loss)--for instance, a Takaful certificate that covers property, if there are two certificates involved, the loss shall be shared by both the certificates. In no case can a participant get more than the actual pecuniary loss he or she has incurred. On the other hand, in respect of benefit certificates like the Personal Accident Takaful certificate, where a fixed benefit is paid, no matter what the actual loss is, one may obtain benefits from more than one Takaful certificate.

In indemnity certificates, the upper limit of a claim is the sum covered and this usually applies for the period of the Takaful certificate. Certain certificates, however, allow for reinstatement of the Sum Covered by payment of proportionate contribution for the remaining period of the Takaful certificate. The actual claim will be the actual extent of financial loss as validated by documents like bills. If the property is under covered, the participant shall bear a rate able proportion of the loss. There can be more than one claim in the Takaful certificate period but the sum covered is usually the limit for the Takaful certificate period unless reinstated.

In indemnity certificates, the upper limit of a claim is the sum covered and this usually applies for the period of the Takaful certificate. Certain certificates, however, allow for reinstatement of the Sum Covered by payment of proportionate contribution for the remaining period of the Takaful certificate. The actual claim will be the actual extent of financial loss as validated by documents like bills. If the property is under covered, the participant shall bear a rate able proportion of the loss. There can be more than one claim in the Takaful certificate period but the sum covered is usually the limit for the Takaful certificate period unless reinstated.

It is now common in Takaful Health practice for certificate benefit to offer a cashless program. A cashless program allows the beneficiaries of the certificate to obtain the hospitalization benefits without having to first pay the bills at point of his charged and to claim from the Takaful Operator for reimbursement of the eligible cost. The Takaful operators will have appointed a service provider sometimes called Third Party Administrator (TPA), who liaises with the hospitals and guarantee the payment for your treatment as per the terms of your Takaful certificate and coverage.

 

Most general Takaful certificates are annual and the contribution payment is in advance. No risk commences unless you have paid the contribution. In some long term certificates, companies have the facility of collecting contributions periodically.

 

 

The individual must pass the Takaful Basic Examination (TBE) organized by Islamic Banking and Financial Institute Malaysia (IBFIM) and the registration can be made through any Takaful Operator (TO). The registration depends on the TBE route taken by the individual. The route as below:

  1. Part A+C = Basic + Family
  2. Part A+B = Basic + General
  3. Part B = General
  4. Part C = Family

In order to register with the TO, the individual must pass either 1 of the examination route which are Part A+C or Part A+B. Then only they can sit for Part B or Part C and register with the TO.

The agent or the public may check agent registration status using Public Enquiry System.

How long does it takes to release the agent status after the resignation has been submitte to the principal and with whom should be the agent check the status?

Normally, the principal will release agent status once the agent has clear all outstanding matter. Therefore, the agent should check their status with the principal.

How do I check the TBE registration status and TBE results?

Candidates can check registration TBE status and result directly with IBFIM or check by online at www.takafuleexam.com.my

The conditions are:
  1. Exempted agents must pass TBE if they wish to join another principal or re-join their original principal, should they are terminated due to failure to meet the minimum contract maintenance or the disciplinary reasons such as breach of Code of Ethics, misconduct, committing criminal breach of trust or violating the rules and regulations of MTA or TO.
  2. Exempted agents who voluntarily resigned and not because of the reasons as stated in item 1 would remain exempted from passing TBE if they wish to join another principal or re-join their original principal
  3. Exempted agents who active in their original company will remain exempted from passing TBE.

The agent should contact MII or IBFIM to reprint the certificate.

Please contact the principal to liaise with MTA and the cost is RM50.00.

No, an agent only can register with 1 principal for Family Takaful.

Total of 30 hours for Family Takaful and 20 hours for General Takaful.

 

The license is active within 2 years. Upon the expiry date, the agent must contact the principal for the renewal status.

 

 

The license is active within 2 years. Upon the expiry date, the agent must contact the principal for the renewal status.

 

 

The license is active within 2 years. Upon the expiry date, the agent must contact the principal for the renewal status.

 

 

RM 80 for first time registration and re-sit candidates.

 

No, the TBE exam by MII can be used to register both license (Family and General). But this is applicable to the agent who had taken the MII in the earlier process. With the effect from April 2012, only IBFIM responsible to coordinate the TBE Exam process for any agents.