Takaful is a Sharia or Islamic compliant alternative to Insurances. These insurances are one of the most responsible ways of handling hazards. Islamic or Takaful insurance function when the person concerned about the hazard or loss pays donations or contributions which are managed by the takaful operator and later in case of any loss gets a reimbursement. Takaful is grounded in Islamic Muamalat or Islamic Law.
The Takaful Industry in Bahrain has a GWP (Gross Written Premium) of nearly 22%. It has been rapidly growing, and the credit goes to the evolution done by the regulatory sector in Takaful Model in 2013 and 2015.
Various types of Takaful Insurances are available from different companies.
1) Al Hilal Takaful
Al Hilal Takaful is a subsidiary of Al Hilal Life. It majorly focuses on Family Takaful.
Reeya (Personal Accident Plan)
The plan offers three levels of benefits namely Platinum, Gold and Silver. Annual contribution for Platinum is BHD 67.86, Gold is BHD 35.92, and silver is BHD 18.85
- Daily Hospital Allowance
- Funeral Expense
- Repatriation of mortal remains.
Hemaya (Family Protection Plan)
It provides a whole lump sum amount to the family or beneficiaries in case of death or if any other supplementary cover was chosen. The contributions are paid monthly, quarterly or semi-annually or annually.
(i) Death Benefit (due to any cause)
In case of death the Takaful Operator pays out from the Tabarru Fund and thereafter no other benefits can be availed.
(ii) Total Permanent Disability Benefit (If Chosen)
Any disability that prohibits the participant from getting any job will only be considered, in such a case the takaful operator will pay from the Tabarru fund the Total permanent disability benefit in a lump sum manner.
(iii) Critical Illness Benefit (If chosen)
Takaful operator will pay from the Tabarru fund. The benefit will only be paid once and is not dependent on the number of illnesses diagnosed.
Weqaya (Critical Illness Plan)
The lump sum amount of the Critical Illness Plan will be paid at the first diagnosis (specified illnesses) of the patient after that no benefit can be availed by the customer.
The four packages offered along with their maximum sum takaful amounts are as follows:
- Silver- BHD 9425
- Gold- BHD 18850
- Platinum-BHD 28275
- Diamond- BHD 37700
2) Solidarity Bahrain B.S.C
Solidarity is a Bahrain based company which offers Islamic protection plans in many fields. It is a locally incorporated takaful firm.
The plans which the company provides are listed below:
Personal Accident Plan
In case of any injury or disability, this plan can offer financial security to the family and the policyholder.
- Repatriation of mortal remains
- Lump sum amount in case of death, total disability or permanent partial disability.
The plan cannot be renewed online and is applicable only when the incident takes place in Bahrain.
It covers a wide range of benefits which include:
- International Emergency
This medical plan has a wide area of coverage for both hospitals as well as pharmacies. The plan cannot be bought online. The policy also cannot be intimidated about a claim through the site.
Home Insurance Plan
It is the perfect plan to protect your pocket from any sudden expenses that can come your way through damage to property, theft etc.
- Declared valuables in the house are covered.
- Loss of rent/accommodation cover inbuilt
- In case a claim needs to be processed, there is no reduction in terms of wear and tear.
- This plan is available online and one can apply, renew and provide intimidation about the claim online.
Motor Insurance Plan
The plan provides coverage against:
- Fire and Theft
- Storms flood and hailstorm.
- It is also valid in Saudi Arabia
- No depreciation on spare parts up to 5 years
- Agency repair up to 5 years.
- This policy can be bought, renewed, and intimidate claim can be done online.
Pleasure Craft Plan
Provides coverage against:
- Accidents such as sinking, collision
- Can be bought and the claim can be intimidated online.
- It is an eco-friendly process thus saving the trees.
Travel Insurance Plan
Provides coverage against:
- Loss of passport
- Delayed and canceled departure.
- Loss of baggage
- Available online but one cannot renew its online
- Emergency medical, dental expenses.
- Policy can be bought, and the claim can be intimidated online but cannot be renewed online.
3) T’azur Company
T’azur Company is a company which is regulated by the Central Bank of Bahrain. It provides takaful insurances for business as well as individuals.
Individual Insurances are as follows:
It provides protection against injuries, death etc. It also provides financial coverage to the family in case of any mishappening to the plan owner.
It covers and provides protection to all the listed assets along with other optional benefits to choose from.
Protection against damage to the vehicle. Other services include:
- Roadside assistance
- Vehicle recovery assistance
- Replacement of Vehicle etc.
t’azur Tawasul Income Plan:
This plan pays continuous income in the event of a disability which is permanent and does not allow the patient to get a job. The company will pay a salary for 20 years continuously. (None of the policies are available online)
t’azur Tawasul Education Plan:
Pays for the education of the child in case of death or permanent disability of the policyholder.
t’azur Mustaqbal Plan:
It will pay a fixed lump sum amount in case of death with some other protection benefits.
t’azur Kafalah Plan (Mortgage Plan):
Pays for the plan holders’ mortgages in case of death and provides certain other benefits.
t’azur Family Legacy Plan:
Provides financial security to the family in case of death of the policyholder among many other benefits.
The companies also offer many Corporate Takaful plans to protect your business. One should choose a takaful insurance only after the complete and thorough reading of the terms and conditions of the plan.