Certificate

In
Takaful Practice
(CITP)
 Training
Opportunities
&
Path
“Seek knowledge from
the cradle to
the grave…”
 TRAINING OPPORTUNITIES
Certified Financial Planner/
Chief Consultant Registered
Financial Planner
Advance Takaful  Agency Management Training Program
Agency Management ( AMTP )  Certified Financial
Course Planner Course ( CFP )
Managing  Registered Financial

Consultant Planner Course ( RFP )

Shariah Guidelines on Agency  Basic Agency Management Course
Management ( BAMC )
 Leadership Engine Workshop

Takaful Agency ( LEW )

Management Course
Basic Islamic Wealth Management (BIWM)
Estate Planning for Muslim Clients (EPMC)
Basic Islamic Financial Planning Construction
(BIFPC)
Consultant
Certificate In Takaful Sales (CITS)
Certificate In Takaful Practice (CITP)
Earned Designations
Agency Hierarchical Positions
 Master Agent Requirement
New Takaful Training Programs
 7 Habits of Highly Effective People ( 7H )
 Sales Presentation Workshop (SPW)
 Presentation Skills Workshop ( PSW )
 Action Camp ( AC )
 Basic Financial Planning Program ( BFPP )
 Excellent Customer Service Program ( ECSP )
Master  Product Training ( PT )
 Consultant Advance Training Course( CATC)
 Moving Forward ( MF )
 Consultant Intermediate Training Course
( CITC )
 Certificate Examination In Investment-Linked
Life Insurance Revision Course ( CEILI )
 Consultant Basic Training Course ( CBTC )
 Fast Growth ( FG )
Consultant  Consultant Discovery Course ( CDC )

Pre-Contract Examination Revision Course (PCE)
Applicable for MAA Assurance Agent only

3
 NEW MAA TAKAFUL CONSULTANT TRAINING PATH
Duration/ Requirement Training Program
18 months after
contractual
Basic Islamic Financial Planning
Available for Construction Course
Takaful
Consultant one Estate Planning For
year after MAA Muslim Clients Course
Takaful fully
operational Basic Islamic Wealth
12 months after Management Course
contractual

6 months after
contractual Attendance is compulsory for MAA
Certificate In Takaful Consultant within 3 months
Takaful Sales failing which the commission
3 months after account will be suspended
contractual

Attendance is compulsory for MAA Takaful

Certificate In Consultant within 6 months from the date
2 months after of contractual failing which the contract will
Takaful Practice
contractual be terminated

From the date

of contractual 4
 TABLE OF CONTENT

1. MAA Takaful Berhad

1.1 About Solidarity Company BSC.

2. Introduction to Takaful
2.1 Terminology

2.2 Definition of Takaful

2.3 Why Takaful?
2.4 Insurance and Takaful
2.5 Insurance in Shariah

3. Takaful Act 1984

4. The Takaful Industry

5. The Muslim Market

5.1 Business Ethics in Islam
5.2 The Role of Business Ethics Today
MAA Takaful Berhad

6
 MAA TAKAFUL BERHAD

A Composite Takaful Operator

Paid-up capital of RM100 million

Incorporated on 2nd May 2006

(4 Rabiulawal 1427)

Company Registration No. 731996-H

17th Floor, Menara MAA,
12, Jalan Dewan Bahasa, More than 26,165 consultants
50460 Kuala Lumpur.
A joint venture company between
Tel: 03-21468000 MAA Holdings Bhd and Bahrain’s
Fax: 0321430033 Solidarity Co.
 MAA TAKAFUL BERHAD

Board of Director

1. YBHG. TAN SRI AHMAD BIN MOHD DON (CHAIRMAN)

2. ENCIK MUHAMMAD UMAR SWIFT

3. MR.ASHRAF ADNAN NUREDDIN BSEISU

4. YGBHG. DATUK RAZMAN MD.HASHIM

5. DR. ZAHA RINA ZAHARI

6. DR.MD KHALIL ROSLAN

 MAA TAKAFUL BERHAD

Shariah Committee

DR. MD KHALIL ROSLAN (CHAIRMAN)

• An Associate Professor at the Law Faculty, UM
• Bachelor of Shariah, UM
• Master in Comparative Law, UIAM
• PhD in Islamic Commercial Transaction from the University of Edinburgh

DR. JONI TAMKIN BORHAN

• Professor at the Faculty of Shariah and Economics, UM
• Bachelor of Shariah, UM
• Master of Shariah in Islamic Economics, UM
• PhD in Islamic Banking from the University of Edinburgh

USTAZ YUSRI MOHAMAD

• A lecturer at the Ahmad Ibrahim Kulliyah of Laws, UIAM
• Bachelor of Shariah and Master of Shariah, UIAM
• Now pursuing PhD in the field of Islamic Jurisprudence, UIAM
 MAA TAKAFUL BERHAD

Organisation Chart

PANEL
BOARD
OF
OF DIRECTORS
SHARIAH COMMITTEE

CEO

FAMILY GENERAL
DIVISION DIVISION
 ABOUT SOLIDARITY COMPANY BSC.
Solidarity BSC
Office No.111,
Seef Tower, 11th Floor,
Building 2080, Road 2825,
Al Seef District 428,
P.O. Box 2820,
Manama, Kingdom of Bahrain
Tel : (+973)17585222
Fax: (+973)17578787
Established as one of the
leading companies in the
Arab world with US$ 150
million in paid up capital,
One of the largest Takaful
companies in the world
Registered in the Kingdom of
Bahrain
Commercial Registration
No.50973
Solidarity has been set up in
direct response to the
growing demand for Family
and General Takaful products
across the region.
INTRODUCTION TO
TAKAFUL

12
 TERMINOLOGY

Conventional Takaful

Premium Contribution
Life Assured Person Covered
Policy Certificate
Sum Assured Sum Covered
Insurance Charge/Fee Tabarru’
Payor Contributor
Life Insurance Family Takaful
Assured Participant
Policy Holder Certificate Owner
 DEFINITION OF TAKAFUL

Takaful is a Shariah-compliant insurance.

IAH
SHAR

Derived from an Arabic word which means mutual protection

or joint-guarantee, whereby a group of participants agree
to jointly guarantee among themselves against a defined loss.

A scheme based on brotherhood, solidarity and mutual assistance which

provides for mutual financial aids and assistance to the participants in case of need
whereby the participants mutually agree to contribute for that purpose
- Section 2 of the Malaysian Takaful Act 1984
 WORDS OF WISDOM

• “…Do not enter through one gate but enter through different gates…” (Yusuf : 67)

• “…they should bequeath unto their wives a provision for one year…” (Al-Baqarah:240)

• “Verily never will Allah change the condition of a people until they change it themselves.”
(Ar-Ra’d:11)

• “Tie your camel first, then put your trust in God.” (Tirmidhi/ Saying of the Prophet)

• “…For it is better that you leave your heirs rich rather than poor, asking of others…” (Saad
abi Waqas/Saying of the Prophet)
 WHY TAKAFUL?

Transparent Wider
Product Market

Benefit
of
Shariah
Profit Takaful? Approved
Sharing Products
 INSURANCE AND TAKAFUL

COMPARISON BETWEEN INSURANCE AND TAKAFUL

INSURANCE TAKAFUL

An exchange contract (sale and A combination of tabarru’ contract

CONTRACT purchase) between insurer and (donation) and agency or profit
insured sharing contract

Participants make contributions to the

RESPONSIBILITY OF Policyholders pay
scheme
POLICYHOLDERS/ premium to the insurer
PARTICIPANTS Participants mutually guarantee each
other under the scheme
Insurer is liable to pay the insurance Takaful operator acts as the
benefits as promised from its assets administrator of the scheme and pays
(insurance funds and shareholders’ the takaful benefits from the takaful
LIABILITY OF THE fund) funds
INSURER/ OPERATOR
In the event deficiency in the takaful
funds, operator will provide interest
free loan to rectify the deficiency

There is no restriction apart from Assets of the takaful funds are

INVESTMENT OF FUND those imposed for prudential invested in Shariah-compliant
reasons instruments
 INSURANCE IN SYARIAH

ISLAM

AQIDAH Shariah AKHLAQ

Faith & Belief Practices & Activites Moralities & Ethics

IBADAH MUAMALAT
Man-to-God Worship Man-to-Man Activities

POLITICAL ECONOMIC SOCIAL

ACTIVITIES ACTIVITIES ACTIVITIES

RISK MANAGEMENT / INSURANCE

Since takaful is insurance that conforms to shariah or shariah compliant, it must necessarily conform
to the sources of shariah.
TAKAFUL ACT
1984

19
 TAKAFUL ACT

Section 6 Only companies who are licensed by BNM can conduct takaful business

Takaful operators must appoint Shariah Committee to ensure all products and operations are
Section 8
shariah compliant

Misleading statement, promise or forecast, fraudulent concealment of a material facts which lead to
Section 28 inducing any person to enter into contract of takaful is an offence

Section 35 Only agents of licensed takaful operators can solicit takaful business in Malaysia

Section 36 Agent should inform clients that he or she represents the Takaful operator

The minimum age of a participant must be eighteen years old

Section 64

It is important to fill up the nomination form to reduce the possibility payment will be made to a
Section 65 “proper claimant” which in effect can be any heir

Section 66 Knowledge of the CONSULTANT is deemed as knowledge of the operator, therefore agents must
communicate all information to the operator
 THE
TAKAFUL
INDUSTRY

21
 THE TAKAFUL INDUSTRY

CHANGES IN MALAYSIAN TAKAFUL INDUSTRY 1984-2007

1984 2007

OPERATORS Sole composite operator with RM10 million Nine composite operators with Minimum capital of
capital that sets the foundation for the industry RM100 million each, which enhances competition

INVESTORS/ An Islamic bank and state religious Councils and Broad range of investors comprising
SHAREHOLDERS foundations Private investors, banking groups, Insurers and a reinsurer,
with Takaful operator listed in Bursa Malaysia
GOVERNMENT/ Setting the foundation for the introduction of Providing enabling environment for the development of
REGULATOR takaful by providing basic regulation the industry and setting strategic direction in the medium
and long term

PRODUCTS • Limited products mainly confined to motor, fire • Broad range of product mix with sophisticated features
and mortgage takaful • Family products dominated the market
• General products dominated the Market

CUSTOMERS Mainly Muslims Muslim and non-Muslims with different Expectations,

preferences and demands
DISTRIBUTION Branches and marketing officers Branches, marketing officers, agency force, Bancatakaful,
CHANNELS brokers, internet and strategic alliances
INVESTMENT Confined to Islamic deposits and Wider range of investment instruments Issued by the
AVENUES Government Islamic securities government and the private sector
 THE TAKAFUL INDUSTRY

INSURANCE DENSITY OF SELECTED COUNTRIES, 2005

5,000

4,599
4,500

3,875

3,747
4,000

3,569
3,500
USD PER CAPITA

3,000

2,545
2,311
2,500

2,146

1,983

1,702
2,000

1,500

1,000

283
500

-
FRANCE

GERMANY

HONG KONG

SOUTH KOREA
SINGAPORE
JAPAN

MALAYSIA
TAIWAN
USA

UK

COUNTRY
Comparison of Insurance Density and Premiums of Selected Countries Including Malaysia.
Source : Swiss Re Economic Research and Consulting
 THE TAKAFUL INDUSTRY

INSURANCE PENETRATION IN SELECTED COUNTRIES, 2005

MALAYSIA 5.42%

SOUTH KOREA 10.25%

SINGAPORE 7.47%

TAIWAN 14.11%

HONG KONG 9.93%

GERMANY 6.79%

FRANCE 10.21%

UK 12.45%

JAPAN 10.54%

USA 9.15%

0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00%

% OF GDP
Comparison of Insurance Density and Premiums of Selected Countries Including Malaysia.
Source : Swiss Re Economic Research and Consulting
 THE TAKAFUL INDUSTRY

Growth of Takaful Contribution (2002-2005)

1400

1200 356.6

1000 328.7
251.5
RM MILLION

222.2
800

600
977.1
762.5 794.4
400 663.8

200

0
2002 2003 2004 2005
YEAR

Family Takaful Cont Net General Takaful Cont

 THE TAKAFUL INDUSTRY

Family Takaful Growth (2002-2005)

1,000 977.1

900
762.5 794.4
800
663.8
700
726
RM MILLION

600
604
500 511
452
400

300

200

100

- Family Takaful Contribution

2002
2003 Family Takaful New Business
2004
YEAR 2005
THE TAKAFUL INDUSTRY

Total
Potential Size
(RM 9 billion)

Takaful Size 2006

(RM 1.3 billion)

The Size of Takaful Contributions

Compared To Required Target
by 2010 as stated in the
Financial Sector Masterplan
THE TAKAFUL INDUSTRY
 THE
MUSLIM MARKET

29
 BUSINESS ETHICS IN ISLAM

1. NO FRAUD OR DECEIT

2. AVOID MAKING TOO MANY OATHS

3. MUTUAL CONSENT

4. STRICT IN REGARD TO WEIGHTS AND

MEASURES

5. TRANSACTION OF HARAM ITEMS ARE

FORBIDDEN
 BUSINESS ETHICS IN ISLAM

The Prophet's general advice to all people was,

"What is lawful is clear and what is unlawful is clear,

but between them are certain doubtful things which many
people do not recognize. He who guards against the doubtful
things keep his religion and his honor blameless, but he who
falls into doubtful things falls into what is unlawful, just as a
shepherd who pastures his flocks round a sanctuary will soon
pasture them in it. Every king has a sanctuary, and God's
sanctuary is the things he had declared unlawful" (Al-
Bukhari).
 BUSINESS ETHICS IN ISLAM

THE ROLE OF BUSINESS ETHICS TODAY

1. ALL HUMAN BEINGS SHOULD BE TREATED WITH RESPECT, EQUALITY,

AND FAIRNESS.

2. DIVERSITY IS NATURAL AND BEAUTIFUL

3. L0VE FOR OTHERS WHAT YOU LOVE FOR YOURSELF

4. PROMOTE ETHICAL AND MORAL BEHAVIOUR

5. ENCOURAGE AND SUPPORT AN EDUCATIONAL SYSTEM

 DOING BUSINESS

MEETING AND GREETING

When meeting a Muslim woman (if you are a man) wait to see if she
extends her hand first, if so then it is OK to shake it .

Muslim men and women may also find

close personal contact between sexes very
uncomfortable. Unless you know
otherwise be sure to leave a good deal of
personal space.
 DOING BUSINESS

SOCIALISING

When planning a business meeting or an

appointment or social outings always bear in
mind a Muslim prospect or customer may
feel uncomfortable if the venue is not
appropriate. It is always best to check
with that particular customer first.

Try to think of alternative venues where all

customer will be comfortable.
 DOING BUSINESS

BUSINESS COMMUNICATION AND MEETINGS

They like to make sure they are doing business with the right person (s) who
also offer the best deal. As a result it is necessary to take things slowly,
spend time establishing a good relationship and demonstrating your
capabilities.

Maintaining face is critical. Ensure

you are polite and professional at all
times.

Try not to be too direct in asking

questions or giving answers.
 DOING BUSINESS

FOOD

Always check ingredients of foods you plan to share out or use during
appointment or meeting.

An easy way to overcome any catering difficulties is to provide a vegetarian

option.

GIFT

In Islam alcohol is forbidden, only give alcohol if you

know the recipient will appreciate it.

Be alert as Muslim men are forbid to wear gold and silk

however it is ok if it is not for wearing purposes.
 DOING BUSINESS

PRAYER

A Muslim, both male and female, is expected to pray five times a day
(Typically takes between 5 – 15 minutes depending on the individual.)

Prayer times are calculated according to the movement of the sun and
take place at dawn, midday, late afternoon, dusk and at night.

For your Muslims customer, it is a good idea to allocate a neutral space for
them to use for their prayers. If your customer are required to be
committed to at certain times it may be a good idea to agree on allocated
times in which they can read their prayers.

Friday Prayers

Most mosques conduct prayers at 1.30 p.m. so try to aim to avoid

any appointment for an hour between at least 1 – 2p.m.
 DOING BUSINESS

FASTING

Fasting takes places during the month of Ramadan

The more devout Muslims may also fast on Mondays and Thursdays
throughout the year

Fasting involves abstinence from food, drink, chewing and smoking from
dawn till dusk.

When doing business or appointment, it is best to be aware of customer who

are fasting, as this avoids potential offence if the customer declines an invite
to lunch or to some other function involving food.
 DOING BUSINESS

CELEBRATIONS

During these festivals, it is not advisable to make an appointment or doing

business with them

Aidilfitri – this holiday celebrates the end of the month of Ramadan and fasting. It is traditionally a time when
extended families congregate and presents given to children.

Aidiladha – celebrates the end of the Hajj (pilgrimage) and commemorates the willingness of Abraham to
sacrifice his son. In Muslim countries sheep, goats and camels and usually sacrificed and the meat
distributed the family, neighbourhood and the poor.

As with Aidilfitri, Muslims typically take 2 - 3 days holiday during this period and 1 day
for Aidiladha
THANK YOU

40