Takaful Insurance Regulations in Iraq in the light of the Standards of Accounting and Auditing Organization for Islamic Financial Institutions

The last quarter of the twentieth century witnessed the launch of the functioning of Islamic banks, the expansion of the scope of its work, and its prevalent spread to various countries of the world, including Iraq. Thus, its need for insurance appeared in many of its operations, and takaful insurance emerged as a Sharia alternative to commercial insurance. Takaful insurance provides the same services as commercial insurance, while avoiding Sharia prohibitions. Interests in creating takaful insurance in Iraq has increased, as an important component of the Islamic financial system. In this context, Takaful Regulations were issued to regulate the working of takaful insurance in 2009. Based on what stated above, the subject of this research aims at studying takaful regulations (No. 1) in the light of the Sharia standards of the Accounting and Auditing Organization, as well as learning about the concept, features and principles of Takaful insurance, and explaining the most important fundamental differences between takaful insurance and commercial insurance.

Comparison of Takaful & Non-Takaful Insurance Companies of Pakistan Under Pre, During & Post Economic Crisis 2008

The purpose of this study is to examine the determinants of profitability of Takaful Insurance and Non-Takaful Insurance companies under the tenure of pre, during, and post-financial crisis. The stimulus of this study was the absence of research on this topic. The profitability is measured using Return on Assets whereas macro-economic variables i.e. GDP and Inflation and industry-specific variables i.e. Liquidity, Leverage, and Size are used as independent variables. Panel regression results indicated that macro-economic variables had an insignificant impact on the profitability of the Insurance sector under all three phases, whereas industry-specific variables have a miscellaneous impact on profitability. Takaful insurance companies have better liquidity management than the Non-Takaful insurance companies under post-economic crisis tenure too as they get better returns in terms of profitability. It is concluded that insurance companies’ sectors i.e. Takaful-insurance companies and Non-Takaful Insurance companies should emphasize their internal or industry-specific indicators for their stability.JEL Classification: H8, F0, L1, M2How to Cite:AsadUllah, M., Hassan, M., & Siddiqui, Z. A. (2021). Comparison of Takaful and Non-Takaful Insurance Companies of Pakistan: Under Pre, During, and Post Economic Crisis 2008 . Etikonomi, 20(1), 201 – 212. https://doi.org/10.15408/etk.v20i117325.

BANCATAKAFUL: THE TAKAFUL MARKETING BY BANKS

The integration between banks and insurance services leads the success of the Islamic financial system. Islamic banks or Islamic banks branches provide Takaful insurance services on behalf of the Takaful companies, whether they are affiliated with them or completely separate. The banks can offer these services at a lower cost to their customers or at the same cost as the takaful company. We concluded that the model of the relationship between the Takaful Company and the Islamic Bank does not play a significant role at all in influencing the quality, cost of the Takaful services provided by the Islamic Bank

Governance mechanisms and the Takaful insurance performance: the moderating role of the leader’s seniority

Purpose This paper aims to examine the effect of governance mechanisms (board size, board independence, duality, the Sharia board size, Sharia board meetings and ownership concentration) on the performance of insurance providers of distinguishable Muamalah contracts (wakalah and hybrid), moderated by the length of senior leaders’ servicing time. Design/methodology/approach The full sample includes 21 listed Takaful companies divided into two subsamples – 12 insurance wakalah contracts offered in the South East Asian (SEA) countries and 9 insurance hybrid contracts offered in the Gulf Cooperation Council (GCC) countries over the period of 2012–2018. The methodology is informed by Baron and Kenny’s (1986) moderation process approach. Findings The results of this study indicate that the larger the size of directors’ board and the higher the number of outside directors, the greater the SEA wakalah Takaful insurance performance. Nondual functions and a larger size of Sharia board along with a highly-concentrated ownership structure have a positive effect on the Takaful insurance performance in both the SEA and GCC regions. Furthermore, the higher the Sharia board meetings, the higher performance of all types of Takaful insurance providers in the sample. As for the moderating effect of the director’s seniority, it is found to negatively moderate the relationship between the governance mechanisms and the Takaful performance in both regions. Originality/value This paper highlights that the leader’s entrenchment stands as an obstructing factor impeding the governance mechanisms from enhancing Takaful performance. Thus, it serves to contribute to clearly understanding the appropriate governance mechanisms usefully fit for a Takaful insurance effective performance, applying the wakalah and hybrid contract types. Such a contribution should be appreciated by the concerned regulators engaged in setting up limited serving periods for the directors whereby the Takaful insurance practice could be efficiently managed and supervised.

The magnitude of the investment yield of sharia insurance in Indonesia

The aim of this paper was to investigate the effect of the gross domestic product (GDP) and population on the investment yield of sharia insurance in Indonesia. This research used a causal research design with Indonesian sharia insurance as the focus. The secondary data were sourced from the Financial Services Authority (OJK) of Indonesia in 2016–2017. The analysis was performed with Smart Partial Least Square (PLS) software and indicated that the GDP did not influence the investment yield; however, the population did influence the investment yield of sharia insurance in Indonesia. The implications of this study are expected to recommend to the Indonesia Financial Services Authority regarding the impact of the GDP and population on the investment yield in Indonesia. In addition, the implication provides support for the Indonesian monetary policy authorities to anticipate the monetary policy by the Fed, regarding dovish and hawkish sentiments, to encourage capital inflows to emerging countries due to the impact on the development of Sharia/Takaful insurance in Indonesia. A social implication is that the sharia insurance industry in Indonesia can develop if the public can enjoy convenience in applying for premiums and ease in receiving sharia insurance claims. The majority of Indonesia's population of Moslems requires an openness in the process. This study takes a sample of different sharia industry characteristics to compare sharia and conventional types of industry.

Takaful insurance in theory and practice

Islam attaches great importance to insurance, as an instrument of protection of the individual and the community, and considers it an indispensable element of the process of achieving socio-economic justice in society. Consequently, in the Islamic concept of insurance, the social component dominates over the commercial component. However, requirements of the modern environment have made it necessary to have Shariah-acceptable commercial insurance. Given that conventional insurance models are largely Shariah non-compliant, Takaful insurance has been developed to meet the needs of individuals and institutions that want to be insured in accordance with Shariah principles. In this paper, we will analyze the process of evolution of Takaful insurance, its types and models, perform a comparative analysis of Takaful and conventional insurance, reviewing arguments in favor of Shariah specific nature of conventional insurance, and finally, list the challenges of implementing Takaful insurance in practice.

Finding Direction at the Edge of Law and Life: Islamic Fiqh, Correspondence, and UAE Takāful Insurance Regulation

The Islamic legal enterprise forms an inherently plural system that can appear puzzling to commentators looking for faithfulness to principle or precedent. When one looks at it, instead, as an ongoing search for correspondence between divine guidance, rooted in the foundational sources of Islam, and the singularity of concrete circumstances, Islamic law is revealed as a practice of discernment against the grain of the particular. This article unfolds this approach to understanding Islamic law by entering the conversation where it is currently most heated, namely in connection with the development of Islamic financial products. A case study of takāful regulation in the United Arab Emirates (UAE) helps substantiate the import of our proposal for attuning to the voice of Islamic jurisprudence (fiqh), in the face of contemporary questions arising from the design of financial products in correspondence with the Sharī’ah.

HUBUNGAN PREMI, PENDAPATAN INVESTASI DAN SURPLUS UNDERWRITTING PADA KEUNTUNGAN PT. ASURANSI JASINDO TAKAFUL

ABSTRAKAsuransi syariah merupakan salah satu upaya untuk saling melindungi dan saling membantu antar beberapa pihak melalui investasi pada aset dan atau tabarru yang memberikan pola pengembalian untuk menghadapi risiko tertentu melalui suatu kontrak yang sesuai dengan prinsip syariah. Salah satu kegiatan utama perusahaan baik asuransi konvensional maupun syariah adalah penjaminan emisi. Penelitian ini bertujuan untuk mengetahui pengaruh variabel premi, pengembalian investasi dan dana penjaminan surplus tabarru terhadap laba PT Asuransi Takaful Jasindo baik secara parsial maupun simultan. Penelitian ini menggunakan pendekatan kuantitatif dengan menggunakan data sekunder berupa laporan keuangan PT Asuransi Takaful Jasindo periode 2011-2014. Penelitian ini menggunakan taraf signifikansi 5%. Hasil regresi dalam penelitian ini menunjukkan bahwa variabel premi berpengaruh signifikan terhadap laba asuransi, sedangkan variabel hasil investasi dan surplus dana penjaminan tabarru tidak berpengaruh signifikan terhadap laba asuransi syariah.Kata Kunci: Jasindo Takaful, Premi, Pendaptan Investasi, Surplus Underwriting Tabarru', Laba Asuransi ABSTRACTIslamic insurance is one of the efforts to protect each other and mutual help among several parties through investment in assets and or tabarru which provide pattern returns to face certain risks through a contract in accordance with Islamic principles. One of the main activities of the company both conventional and Islamic insurance is underwriting. This study aims to determine the effect of variable premium, return on investment and underwriting surplus funds tabarru to profits Jasindo PT Asuransi Takaful insurance either partially or simultaneously. This study uses a quantitative approach using secondary data such as financial statements of PT Asuransi Takaful Jasindo period 2011-2014. This study used a significance level of 5%. The regression results in this study indicate that the variable premium significantly affects insurance profit, while the variable investment returns and underwriting surplus funds tabarru not significantly affect on earnings Islamic insurance.Keyword: Jasindo Takaful, Premiums, Return on Investment, Underwriting Surplus Tabarru', Profit Insurance