Allied Insurance launched Thursday its first insurance scheme that complies with Islamic Shariah, the body of Islamic law.
The scheme “Family Takaful”, introduced by Allied’s Islamic window Ayady Takaful, features three insurance plans: Child Education Plan, Mortgage Takaful plan and Ayady Investment Plan.
Child Education Plan
This is a savings plan for children’s higher education. Parents may opt this plan for children under the age of 10.
The plan offers four methods of payment: annually, biannually once in three months, and monthly payments. The savings for regularly paid accounts will be handed over completely once the child reaches 18 years of age. Should the client pass away before the child turns 18, payments will continue from the funds of joint participants.
The minimum certificate offered by this plan is MVR 50,000. The amount of education expenses to be covered is based on the amount paid by clients. Accordingly, the plan covers children from age 8 - 18.
This is a security plan for the families of loanees’. Only people who have borrowed loans from the Islamic Bank are eligible for this plan.
Should the client pass away or suffer a crippling accident, this plan will compensate for the loss via funds of joint participants.
Ayady Investment Plan
This is a retirement savings plan for the clients and their families.
The minimum offered by this plan is MVR 50,000, with a minimum compensation period of five years.
This plan commences for the client once they reach the age of 65 and have retired. However, it offers compensation for any major incidents prior to retirement, such as going for Hajj (Islamic holy pilgrimage to Mecca, Saudi Arabia). Furthermore, the plan provides financial aid to families should the client pass away.
Speaking at the press conference held at Mookai Hotel to launch Family Takaful, chairperson of Allied’s Shariah Board Members, Aishath Muneeza declared it as a historic beginning in the Maldives’ Islamic finance sector.
“From a savings or investments perspective, Family Takaful facilitates a savings plan for each and every one,” she said.
She noted that inclusion of insurance is the most special feature of Family Takaful.