Authors : Sheila Nu NuHtay, Mustapha Hamat, Wan Zamri Wan Ismail and Syed Ahmed Salman
Abstract: Insurance is used, as one of the risk management tools and it becomes more important in the daily lives due to the complicated business activities. However, the non-Shari’ah compliant elements such as interest, gambling and uncertainty involved in the insurance make the insurance prohibited from the Islamic perspective. As an alternative, Shari’ah scholars have introduced Takaful (Islamic insurance). The purpose of this study is to highlight the history, Shari’ah and operational aspect of Takaful. Secondary data is collected from the articles, books and internet resources and then library research is used to get the secondary data. This study highlights the Shari’ah background and validity of Takaful, its models and management of the Takaful Risk Funds. It is expected that this study will be the interest of industrial players, consumers, regulators and investors.
Sheila Nu NuHtay, Mustapha Hamat, Wan Zamri Wan Ismail and Syed Ahmed Salman, 2015. Takaful (Islamic Insurance): Historical, Shari’ah and Operational Perspectives. International Business Management, 9: 65-69.