ﺍﻠﺳﻼﻡ ﻋﻟﻴﻜﻢ ﻮﺮﺤﻤﺔ ﺍﻠﻠﮫ FINANCIAL PLANNING 2005 “U$iN $eN$e” ‘YOUR TAKAFUL FINANCIAL PLAN’ By Zamrin Hj Abd Ghani Asst. Marketing Manager, Insurans Islam TAIB

FAQ What is Takaful? Why do we need it? How does it work for me?

Is an Arabic word which means ‘Joint Guarantee’ It is an act where a group of people reciprocally guarantees each other, against losses or damages caused by any catastrophe or disaster whereby the needy will be given financial compensation WHAT IS TAKAFUL?

The main concept of Takaful is to provide Insurance services in conformity with Syariah and based on The Islamic Principles of Al-Takaful, Tabarru’ and Al-Mudharabah TAKAFUL CONCEPT

What should be your ‘Takaful Financial Plan’ Individuals planning to save money for their:  Future  To provide Financial Security for their Beneficiaries or Family in the event of untimely Death.

Objectives of the Takaful Plan To provide TAKAFUL BENEFITS in the form of Monetary Value should the individual suffers from untimely Death or Permanent Disablement as a result of Accident or Illnesses.

To create a manageable long term fixed plan in the form of REGULAR SAVINGS with the view of creating a Retirement or Long Term Contingency fund Or Any Other Life Goals Fund

As an INVESTMENT programme, in conformity to Syariah approved investment, that could grow into a Long term fund for the Individual or his Beneficiaries.

‘Your Takaful Plan’ The period of participation for the PLAN will depend on the age of the participants, where the final payment of the takaful contribution will end once the participant reach the age of 65 years old. Maturity Period i.10 yrsii. 15 yrsiii. 20 yrs iv.25 yrsv. 30 yrsvi. 35 yrs vii.40 yrs

Illustration Age on next birthday: 20 years Term participated: 20 years Contribution: B$1, per annum Tabarru’ Rate : 5.5% p.a =B$66.00 p.a.

 Is a Voluntary contribution or a means to provide Sincere Help  Whereby the participants/donors contribute a certain % of the whole contribution being paid as a return for participating in the Plans or Takaful Schemes  This is with the intention to use the money to help other participants who suffered losses. Tabarru’

Takaful Contribution $1, Participant Special Account (PSA) $66.00 Participant Account (PA) $1, IITSB $30.00 Investment Profit $ Total Family Takaful Fund $1, Participant $70.00 FLOW CHART ILLUSTRATING THE MANAGEMENT OF TAKAFUL PLANS Takaful Contract Based On Al-Mudharabah

Takaful Contribution $1, Participant Account (PA) $1, Participant Special Account (PSA) $66.00 A large proportion of the takaful contribution paid will be credited into the Participants Account (AP) as the Participant Savings. The remaining balance will be credited into the Participants Special Account (AKP) as Tabarru’ (donation) according to their individual specific rate, for the purpose of joint guarantee and cooperation among all participants, as embodied in the concept of Al-Takaful.

Total Saving in the Participants Account (PA) $94.50 x 240 monthsB$ 22, Investment ReturnsCommutative Profit for 20 yrs B$TBA Total amount saved by the Participant B$TBA ILLUSTRATION OF SAVINGS

ILLUSTRATION OF TAKAFUL BENEFITS Total saving in the Participants Account (PA) $94.50 x 24 monthsB$2, Investment ReturnsCommutative Profit for 2 years B$TBA Normal Savings ends upon untimely Death/PTD $ x 24 monthsB$ 2, Saving profit from his Participants’ Special Account (PSA) B$100 x 216 monthsB$ 21, Total benefitsB$TBA Note : After two (2) years of participation

‘Your Takaful Plan’  Basic Cover for - Death - Permanent Disablement  Additional Cover for - Personal Accident - Hospital Benefit - Family Rider - Critical Illness and others

ﻮﺍﻟﺳﻼﻢ We hope you found this presentation informative and useful in making the right financial decision Tel No , /25