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Takaful malaysia & etiqatakaful : a comparison<br />
Presentation agenda<br />
Agenda<br />Introduction on Takaful & Takaful Industry<br />Introduction on Takaful Malaysia and Takaful Etiqa<br />Takafu...
Introduction on Takaful<br />
What Is Takaful?<br />Originates from the Arabic word Kafalah, which means "guaranteeing each other" or "joint guarantee“....
Underlying principles of Takaful <br />Takaful system employs several Islamic elements such as;<br />Ta’awun(mutual help),...
Why Conventional Insurance is Prohibited?<br />Involves the elements of excessive uncertainty (gharar); <br />Gambling (ma...
Why Conventional Insurance is Prohibited? (con’t)<br />Conventional insurance companies are motivated by the desire for pr...
Introduction on takaful industry<br />
Takaful history<br />Takaful has been practiced in various forms for over 1400 years.<br />Takaful originated within the a...
Takaful Industry<br />More than 40 takaful operators worlwide.<br />It is estimated that the combined total assets of the ...
Introduction to takaful Malaysia<br />
SYARIKAT TAKAFUL MALAYSIA BERHAD (STMB)<br />The descriptions on products, models and  sales illustration.<br />
Corporate info<br />Syarikat Takaful Malaysia Berhad (Takaful Malaysia) was incorporated on the 29th of November 1984.<br ...
Corporate info (con’t)<br />The incorporation of Takaful Malaysia was based on the recommendation of the “Task Force on th...
The corporate structure<br />
STM PRODUCTS       FAMILY TAKAFUL<br /><ul><li>MYSISWA
MYSINAR
MYIMPIAN
MYMEDICARE
MYRAWAT
FUND
MYINVEST
MYGRADUAN</li></li></ul><li>STM PRODUCT (CONT’D)     GENERAL TAKAFUL<br /><ul><li>BAITUL SAA’DAH
FIRE
HOUSEOWNER’S & HOUSEHOLDER’S
MOTOR
PERSONAL ACCIDENT
RUMAH DESA</li></li></ul><li>STMB MODEL  MUDHARABAH<br />The first Takaful Company in Malaysia, Syarikat Takaful Malaysia(...
STMB MUDHARABAH MODEL (CONT’D)<br />For nearly 10 years STM was the only Takaful Company operating in Malaysia.<br />This ...
STMB MUDHARABAH MODEL (CONT’D)<br />
STMB MUDHARABAH MODEL (CONT’D)General Takaful Operation<br />participant<br />Investment income<br />Takaful Fund (TF)<br ...
Claims (paid & outstanding + IBNR)
Reserves (UPR)</li></ul>Provisions<br /><ul><li>doubtful debt
diminution in investment value</li></ul>Gross profit (if any)<br />40 % of Profit<br />Payment  of Contribution by Partici...
STMB WAKALAH MODEL<br />The Wakalah model will allow STMB act as the agent (or Wakil) to manage Takaful funds on the behal...
WAKALAH MODEL (CONT’D)<br />Wakalah for family takaful –one model<br />Profit <br />100%<br />Investment Account <br />Par...
Funds management<br />There are three funds;<br />Family Takaful Fund under the Family Takaful Business; and<br />General ...
ETIQA TAKAFUL BERHAD (266243-D)<br />(formerly known as Takaful NasionalSdnBhd)<br />(Incorporated in Malaysia)<br />
THE COMPANY<br />Founded: 1993<br />Background<br />Registered under 1984 Act of Malaysia, its structured is that of a Mod...
THE COMPANY…cont’<br />Provides individual life, group life, fire, motor, marine and aviation products through banking coo...
THE COMPANY…cont’<br />Change name<br />On 31 October 2007, the Company's status was changed from a private limited liabil...
THE COMPANY…cont’<br />The Shariah Committee<br />
THE PRODUCTS<br />
THE PRODUCTS<br />
Features : <br /><ul><li>All in-patient hospitalisation and surgical benefits
Emergency out-patient treatment benefits.
Choice of extension of coverage.
A medical card for hassle-free admission to panel hospitals.
Affordable contribution rates on excellent benefits
Guaranteed renewable up to age 75.
Free and convenient auto-debit of monthly/quarterly/semi-annually or yearly contributions from your Maybank Current/Saving...
Co-Takaful : <br />Co-takaful is the sharing of medical charges. For Takaful MediRider, co-takaful is 10%. This means you ...
Co-Payment : <br />If you choose to be hospitalised at a Room & Board rate higher than your eligible benefit, co-payment r...
Wakalah Fee<br />A fixed proportion of the contribution will be deducted as Wakalah Fee as  follows:<br />Certificate Year...
BASIC OPERATIONAL MODEL<br />Takaful Participants<br />Takaful Funds<br />Takaful Operator<br />Investment <br />Pay Claim...
MODIFIED TAKAFUL<br />Mudharabah<br />Wakalah<br />
BALANCE SHEET AS AT 30 JUNE 2007…cont’<br />
BALANCE SHEET AS AT 30 JUNE 2007…cont’<br />
INCOME STATEMENT AS AT 30 JUNE 2007<br />
Comparison on takaful model<br />
Takaful Malaysia  Vs Takaful Etiqa<br />Similarities:<br />Both takaful are using modified Wakalah Model for Family Produc...
Simple Modified Wakalah Model<br />Investment Profits (RM90)<br />RM900<br />Contribution<br />___________<br />Fee<br />R...
SIMPLE PURE WAKALAH MODEL<br />Investment Profits (RM90)<br />Wakalah Management<br />RM900<br />Contribution<br />_______...
Similarities:<br />Both takaful are using modified Mudharabah Model for general Product for example Personal (BaitulSaadah...
PURE MUDHARABAH MODEL<br />Mudharabah Investment  Profit = RM100<br />(PSR: 70:30)<br />Takaful Operator <br />Contributio...
Modified Mudharabah Model<br />Mudharabah Investment  Profit<br />($100)<br />Takaful Operator <br />Eg: 30% (RM120)<br />...
Modified Mudharabah<br />Modified Wakalah Vs Mudharabah Model<br />Mudharabah Investment  Profit<br />($100)<br />Takaful ...
Modified Wakalah<br />Investment Profits (RM90)<br />RM900<br />Contribution<br />___________<br />Fee<br />RM100<br />RM9...
Takaful Malaysia Vs Takaful Etiqa<br />Differences:<br />Profit Sharing Ratio<br />Plan & Benefits<br />
TM vs TE: 60:40 , 80:20 (Product MyMedicare:MediRider)<br />Comparison On Profit Sharing : TM vs TE<br />Takaful Malaysia<...
Comparison On Product & It’s Benefit: Family Plan<br />Takaful Malaysia<br />
Takaful Etiqa<br />
COMPARISONS ON ACCOUNTING<br />
BALANCE SHEET<br />TAKAFUL MALAYSIA<br />
BALANCE SHEET<br />ETIQA TAKAFUL<br />
INCOME STATEMENT<br />TAKAFUL MALAYSIA<br />
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This is presentation on types of takaful products.

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Takaful Presentation Full

  1. 1. Takaful malaysia & etiqatakaful : a comparison<br />
  2. 2. Presentation agenda<br />
  3. 3. Agenda<br />Introduction on Takaful & Takaful Industry<br />Introduction on Takaful Malaysia and Takaful Etiqa<br />Takaful Malaysia<br />Takaful Etiqa<br />Comparisons on model<br />Comparisons on accounting<br />Suggestions<br />Conclusion<br />
  4. 4. Introduction on Takaful<br />
  5. 5. What Is Takaful?<br />Originates from the Arabic word Kafalah, which means "guaranteeing each other" or "joint guarantee“.<br />Takaful is commonly referred to as Islamic insurance.<br />Based on principles of mutuality and co-operation, encompassing the elements of shared responsibility, joint indemnity, common interest and solidarity.<br />
  6. 6. Underlying principles of Takaful <br />Takaful system employs several Islamic elements such as;<br />Ta’awun(mutual help), <br />Tabarru’at(willingly relinquish individual rights over the contributions paid, for collective benefits)<br />Losses are divided and liabilities spread according to the community pooling system. <br />It does not seek to derive advantage at the cost of others. <br />
  7. 7. Why Conventional Insurance is Prohibited?<br />Involves the elements of excessive uncertainty (gharar); <br />Gambling (maysir) as the consequences of the presence of excessive uncertainty that rely on future outcomes; <br />Interest (riba) in the investment activities of the conventional insurance companies; <br />
  8. 8. Why Conventional Insurance is Prohibited? (con’t)<br />Conventional insurance companies are motivated by the desire for profit for the shareholders; <br />Conventional system of insurance can be subject to exploitation. For  example,  it is possible to charge high premium (especially in monopolistic situations) with the full benefit of such over-pricing going to the company.<br />
  9. 9. Introduction on takaful industry<br />
  10. 10. Takaful history<br />Takaful has been practiced in various forms for over 1400 years.<br />Takaful originated within the ancient Arab tribes as a pooled liability that obliged those who committed offences against members of a different tribe to pay compensation to the victims or their heirs. <br />This principle later extended to many walks of life, including sea trade, in which participants contributed to a fund to cover anyone in a group who suffered mishaps on sea voyages. <br />
  11. 11. Takaful Industry<br />More than 40 takaful operators worlwide.<br />It is estimated that the combined total assets of the operators stand at around USD1 billion.<br />The contributions (premium) of the operators stand at around USD500 million.<br />Possesses high potential to expand because the insurance and takaful penetration in Muslims countries is less than 1% of GDP.<br />In Malaysia, the insurance penetration rate is around 30% of GDP.<br />
  12. 12. Introduction to takaful Malaysia<br />
  13. 13. SYARIKAT TAKAFUL MALAYSIA BERHAD (STMB)<br />The descriptions on products, models and sales illustration.<br />
  14. 14. Corporate info<br />Syarikat Takaful Malaysia Berhad (Takaful Malaysia) was incorporated on the 29th of November 1984.<br />The current authorised capital of Takaful Malaysia is RM500 million and paid-up capital is RM162.817 million. <br />It commenced operation on the 22nd of July, 1985 prior to its official launching on the 2nd of August 1985 by the then Prime Minister of Malaysia, Tun Dr. Mahathir Mohamed. <br />
  15. 15. Corporate info (con’t)<br />The incorporation of Takaful Malaysia was based on the recommendation of the “Task Force on the Study for the Establishment of an Islamic Insurance Company in Malaysia” (Task Force) set up by the Government of Malaysia in 1981.<br />Takaful Malaysia was transformed into a public limited company on the 30th of July 1996.<br />BIMB Holdings Berhad is the major shareholder with 65.22% stake in Takaful Malaysia.<br />
  16. 16. The corporate structure<br />
  17. 17. STM PRODUCTS FAMILY TAKAFUL<br /><ul><li>MYSISWA
  18. 18. MYSINAR
  19. 19. MYIMPIAN
  20. 20. MYMEDICARE
  21. 21. MYRAWAT
  22. 22. FUND
  23. 23. MYINVEST
  24. 24. MYGRADUAN</li></li></ul><li>STM PRODUCT (CONT’D) GENERAL TAKAFUL<br /><ul><li>BAITUL SAA’DAH
  25. 25. FIRE
  26. 26. HOUSEOWNER’S & HOUSEHOLDER’S
  27. 27. MOTOR
  28. 28. PERSONAL ACCIDENT
  29. 29. RUMAH DESA</li></li></ul><li>STMB MODEL MUDHARABAH<br />The first Takaful Company in Malaysia, Syarikat Takaful Malaysia(STM) was established in 1985 as composite operation. It used the Mudharabah contract as the basis of its Takaful Model. <br />The idea was based on the contractual relationship between the ‘capital provider’ and the ‘entrepreneur’ in the Mudharabah contract. The participant (policyholder) was designated as the capital provider while the shareholders of the Takaful company was defined as the‘entrepreneur’.<br />
  30. 30. STMB MUDHARABAH MODEL (CONT’D)<br />For nearly 10 years STM was the only Takaful Company operating in Malaysia.<br />This monopoly helped in easing competitive pressure on pricing (tend to be higher on this model) as it only had to compete with conventional insurance companies.<br />The Mudharabah Model worked well for General Takaful (as ‘profit’ was realised yearly) but did not do show immediate results for the Family Takaful.<br />The Takaful Operator has a strong incentive to generate ‘profits’ as otherwise expenses are not covered and their efforts will go unrewarded.<br />The model has its detractors as surplus is not<br /> profit as intended under the Mudharabah contract.<br />
  31. 31. STMB MUDHARABAH MODEL (CONT’D)<br />
  32. 32. STMB MUDHARABAH MODEL (CONT’D)General Takaful Operation<br />participant<br />Investment income<br />Takaful Fund (TF)<br />Less<br />Underwriting cost & reserves<br /><ul><li>Retakaful
  33. 33. Claims (paid & outstanding + IBNR)
  34. 34. Reserves (UPR)</li></ul>Provisions<br /><ul><li>doubtful debt
  35. 35. diminution in investment value</li></ul>Gross profit (if any)<br />40 % of Profit<br />Payment of Contribution by Participant (based on tabarru’ and Mudharabah contract)<br />Gross profit (if any)<br />Qard Hassan <br />to cover deficit<br />60 % of Profit<br />Shareholder Fund (SF)<br /> + Share of profits (if any)<br /> + Investment income of SF<br /> - Actual Management expensess<br />
  36. 36. STMB WAKALAH MODEL<br />The Wakalah model will allow STMB act as the agent (or Wakil) to manage Takaful funds on the behalf of participants. <br />The participant as a party to the wakalah contract agrees that the takaful operator may take a portion of the contribution as remuneration for services provided:<br />Wakalah Fee;<br />Performance Fee (if any); <br />The fee scale must be transparent and agreed to at the time of participation.<br />
  37. 37. WAKALAH MODEL (CONT’D)<br />Wakalah for family takaful –one model<br />Profit <br />100%<br />Investment Account <br />Participant <br />Investment Account <br />Contribution <br />Risk <br />Account<br />Expenses <br />Risk <br />Account<br />Surplus <br />Wakalah<br />Fee<br />% Net Assets<br />% Revenue<br />24<br />Takaful Operator <br />
  38. 38. Funds management<br />There are three funds;<br />Family Takaful Fund under the Family Takaful Business; and<br />General Takaful Fund under the General Takaful Business.<br /> These Takaful funds are kept separate from the Shareholders' Fund which was originally funded wholly by the paid-up capital.<br />
  39. 39. ETIQA TAKAFUL BERHAD (266243-D)<br />(formerly known as Takaful NasionalSdnBhd)<br />(Incorporated in Malaysia)<br />
  40. 40. THE COMPANY<br />Founded: 1993<br />Background<br />Registered under 1984 Act of Malaysia, its structured is that of a Modified Takaful whereby the surplus from its operation are divided 80% policyholder and 20% shareholder for life operations and 50% each for non-life products<br />BOD: Malaysian National Insurance Company + Malaysia Islamic Economic Development Foundation<br />
  41. 41. THE COMPANY…cont’<br />Provides individual life, group life, fire, motor, marine and aviation products through banking cooperative, agents and direct distribution.<br />The company made charitable donations as well as a number of community based projects including sponsoring school newspapers, covering the costs of books for poor student through the National Book Development Foundation and building mosques and hotels for orphans.<br />
  42. 42. THE COMPANY…cont’<br />Change name<br />On 31 October 2007, the Company's status was changed from a private limited liability Company to a public Company. Accordingly, its name was changed from TakafulNasionalSdnBhd to TakafulNasionalBerhad.<br />On 15 November 2007, the Mayban Fortis Holdings Berhad ("MFHB") Group rebranded the organisation under a new name and identity that symbolises the Group's efforts to humanise takaful operational process. In conjunction with this new branding exercise, the Company changed its name to EtiqaTakafulBerhad on 12 November 2007.<br />
  43. 43. THE COMPANY…cont’<br />The Shariah Committee<br />
  44. 44. THE PRODUCTS<br />
  45. 45. THE PRODUCTS<br />
  46. 46. Features : <br /><ul><li>All in-patient hospitalisation and surgical benefits
  47. 47. Emergency out-patient treatment benefits.
  48. 48. Choice of extension of coverage.
  49. 49. A medical card for hassle-free admission to panel hospitals.
  50. 50. Affordable contribution rates on excellent benefits
  51. 51. Guaranteed renewable up to age 75.
  52. 52. Free and convenient auto-debit of monthly/quarterly/semi-annually or yearly contributions from your Maybank Current/Savings account or credit card.</li></ul>TAKAFUL MEDIRIDER<br />
  53. 53. Co-Takaful : <br />Co-takaful is the sharing of medical charges. For Takaful MediRider, co-takaful is 10%. This means you only pay 10% of your medical bills; the remaining 90% will be paid directly to the hospital when you are discharged.<br />E.g.: If you have taken up Takaful MediRider 100 and your Room & Board expenses are within coverage, you only pay 10% of the eligible medical expenses.<br />Total amount of hospital bill : RM 9050<br /> Payment by Takaful Operator: RM8,245 ( 90 % ) Payment by Participant: RM805 (10 % )<br />TAKAFUL MEDIRIDER<br />
  54. 54. Co-Payment : <br />If you choose to be hospitalised at a Room & Board rate higher than your eligible benefit, co-payment requires you to pay only 20% of your medical bills. Co-takaful is also applicable to the remaining 80% of the outstanding medical bills. In total, you pay 28% of your medical bills.<br />E.g.: If you have taken up Takaful MediRider 100 but you choose to upgrade to Room & Board expenses of RM300, co-payment is applicable.<br />Total amount of hospital bill : RM 10,200<br /> Payment by Takaful Operator: RM6,184 ( 72 % ) Payment by Participant: RM4,016 ( 28 % )<br />TAKAFUL MEDIRIDER<br />
  55. 55. Wakalah Fee<br />A fixed proportion of the contribution will be deducted as Wakalah Fee as follows:<br />Certificate Year Wakalah fee<br />1st year 35 %<br />2nd year onwards 15 %<br />Surplus Sharing<br />Surplus arising (if any) at the end of each financial year will be shared between you and Etiqa Takaful Berhad at a 20%:80% ratio. The surplus will be payable only upon death or maturity, whichever is earlier, subject to no claim.<br />TAKAFUL MEDIRIDER<br />
  56. 56. BASIC OPERATIONAL MODEL<br />Takaful Participants<br />Takaful Funds<br />Takaful Operator<br />Investment <br />Pay Claims<br />
  57. 57. MODIFIED TAKAFUL<br />Mudharabah<br />Wakalah<br />
  58. 58. BALANCE SHEET AS AT 30 JUNE 2007…cont’<br />
  59. 59. BALANCE SHEET AS AT 30 JUNE 2007…cont’<br />
  60. 60. INCOME STATEMENT AS AT 30 JUNE 2007<br />
  61. 61. Comparison on takaful model<br />
  62. 62. Takaful Malaysia Vs Takaful Etiqa<br />Similarities:<br />Both takaful are using modified Wakalah Model for Family Product for example MyMedicare offered by TM while Takaful Medirider from TE.<br />
  63. 63. Simple Modified Wakalah Model<br />Investment Profits (RM90)<br />RM900<br />Contribution<br />___________<br />Fee<br />RM100<br />RM900<br />Contribution<br />___________<br />Fee<br />RM90<br />Wakalah Management<br />Claim (RM700)<br />Takaful Operator<br />Fee<br />Surplus (RM290)<br />Tabarru’<br />Participants<br />Eg: 50%=RM145<br />Eg: 50%=RM145 (As Performance Fee)<br />
  64. 64. SIMPLE PURE WAKALAH MODEL<br />Investment Profits (RM90)<br />Wakalah Management<br />RM900<br />Contribution<br />___________<br />Fee<br />RM100<br />RM900<br />Contribution<br />___________<br />Fee<br />RM90<br />Claim (RM700)<br />Takaful Operator<br />Fee<br />Surplus (RM290)<br />Tabarru’<br />Participants<br />100%<br />
  65. 65. Similarities:<br />Both takaful are using modified Mudharabah Model for general Product for example Personal (BaitulSaadah Fire and Houseowner Plan), Community, Engineering and Corporate organization Takaful from TM while Takaful Medirider from TE.<br />
  66. 66. PURE MUDHARABAH MODEL<br />Mudharabah Investment Profit = RM100<br />(PSR: 70:30)<br />Takaful Operator <br />Contribution<br />($1,000) <br />Contribution + Profit <br />($1,000 + $70)<br />Claims<br />($700) <br />Surplus<br />($370) <br />Participants<br />
  67. 67. Modified Mudharabah Model<br />Mudharabah Investment Profit<br />($100)<br />Takaful Operator <br />Eg: 30% (RM120)<br />Claims<br />($700) <br />Contribution<br />($1,000) <br />Contribution + Profit <br />($1,000 + $100)<br />Surplus<br />($400) <br />Eg: 70% (RM280)<br />Participants<br />
  68. 68. Modified Mudharabah<br />Modified Wakalah Vs Mudharabah Model<br />Mudharabah Investment Profit<br />($100)<br />Takaful Operator <br />Eg: 50% (RM200)<br />Claims<br />($700) <br />Contribution<br />($1,000) <br />Contribution + Profit <br />($1,000 + $100)<br />Surplus<br />($400) <br />Participants<br />Eg: 50% (RM200)<br />
  69. 69. Modified Wakalah<br />Investment Profits (RM90)<br />RM900<br />Contribution<br />___________<br />Fee<br />RM100<br />RM900<br />Contribution<br />___________<br />Fee<br />RM90<br />Wakalah Management<br />Claim (RM700)<br />Takaful Operator<br />Fee<br />Surplus (RM290)<br />Tabarru’<br />Participants<br />Eg: 50%=RM145<br />Eg: 50%=RM145 (As Performance Fee)<br />
  70. 70. Takaful Malaysia Vs Takaful Etiqa<br />Differences:<br />Profit Sharing Ratio<br />Plan & Benefits<br />
  71. 71. TM vs TE: 60:40 , 80:20 (Product MyMedicare:MediRider)<br />Comparison On Profit Sharing : TM vs TE<br />Takaful Malaysia<br />
  72. 72. Comparison On Product & It’s Benefit: Family Plan<br />Takaful Malaysia<br />
  73. 73. Takaful Etiqa<br />
  74. 74. COMPARISONS ON ACCOUNTING<br />
  75. 75. BALANCE SHEET<br />TAKAFUL MALAYSIA<br />
  76. 76.
  77. 77.
  78. 78. BALANCE SHEET<br />ETIQA TAKAFUL<br />
  79. 79.
  80. 80.
  81. 81.
  82. 82. INCOME STATEMENT<br />TAKAFUL MALAYSIA<br />
  83. 83.
  84. 84. INCOME STATEMENT<br />ETIQA TAKAFUL<br />
  85. 85.
  86. 86. FINANCIAL REPORTING STANDARD (FRS) and AAOIFI STANDARDS<br />DOES THIS TWO COMPANIES COMPLY WITH ABOVE STANDARDS?<br />
  87. 87. FINANCIAL REPORTING STANDARD (FRS)<br />Compliance with FRS are legislated under Financial Reporting Act 1997 [Section 26D]<br />MASB approved Accounting Standards for entities other than private entities<br />For insurance contracts - Financial Reporting Standard 4 (FRS4)<br />Both Takaful Malaysia and Etiqa Takaful comply with this standards<br />
  88. 88. AAOIFI STANDARDS<br />Shariah Standards for Islamic Insurance and Reinsurance<br />Contractual relationships<br />Musharaka, Wakalah, Mudarabah<br />Form of reinsurance<br />Selective risk or comprehensive reinsurance<br />Both Takaful Malaysia and Etiqa Takaful mentioned the contractual relationship and the proportion for reinsurance<br />
  89. 89. AAOIFI STANDARDS..contd<br />Accounting Standards for Islamic Insurance companies<br />General Presentation and Disclosure in Financial Statement<br />Disclosure of Bases for Determining and Allocating Surplus of Deficit<br />Provisions and Reserves<br />Contributions<br />Takaful Malaysia and Etiqa Takaful comply with the requirements of FRS4 enacted by BNM, but they does not fully applies AAOIFI Standards<br />
  90. 90. FINANCIAL PERFORMANCE ANALYSIS<br /><ul><li>LIQUIDITY RATIO
  91. 91. PROFITABILITY RATIO (OPERATING PROFIT MARGIN)
  92. 92. DIVIDEN PAYOUT RATIO</li></li></ul><li>LIQUIDITY RATIO = TOTAL ASSETS / TOTAL LIABILITIES<br />
  93. 93. OPERATING PROFIT MARGIN = OPERATING PROFITS / NET SALES<br />
  94. 94. DIVIDEN PAYOUT RATIO = DIVIDEND PER SHARE / EARNINGS PER SHARE<br />
  95. 95. SUMMARY OF FINANCIAL PERFORMANCE FOR BOTH COMPANIES<br />IS IT BENEFICIAL TO OPERATOR OR PARTICIPANTS?<br />
  96. 96. OPERATOR<br />The high liquidity ratio means the company able to meet its financial obligation<br />The lower dividend payout ratio indicates that the company injects some portion out of the profits generated for its grow activities needs <br />Hence, the operator is said to be more beneficial from these accounting perspective<br />Takaful Malaysia rewards operators<br />
  97. 97. PARTICIPANTS<br />The higher ratio of operating profit margin, the better<br />Earning per share is based on net profit divided by unit of shares issued<br />Higher earnings received by the participants indicates that company actively operate the capital to generate lucrative revenue<br />Thus, Etiqa Takaful rewards participants<br />
  98. 98.
  99. 99. Suggestions to improve takaful industry<br />
  100. 100. Suggestions to improve takaful industry<br />Increase promotion activities through effective and interesting methods.<br />
  101. 101. Suggestions to improve takaful industry<br />The World Takaful Conference scheduled on 12 & 13 April 2010 should be fully utilized in structuring or restructuring takaful products as well as promoting takaful industry.<br />
  102. 102. Conclusion<br />Instead of being TAKAFOOL, we need to put our efforts to make it TAKAFULL, in which is full of attractions and justice to people.<br />

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