As a Participant of a takaful plan, your contribution is retained in your Participant Account where a portion of the contribution will be deducted and pooled into the Tabarru` Fund (or Donation) for the purpose of mutual aid and assistance among fellow Participants. The Underwriting Surplus is the excess in the Tabarru` Fund after deducting all claims payable and reserves.
Here we are, Amana Takaful (Maldives) PLC (ATM), the pioneers of Islamic Finance and Takaful in The Republic of Maldives is commemorating a decade of Surplus distribution. The land of fishery and touristic folks, The Maldives, is fast becoming a bustling Islamic Finance hub in the region. Over the past 10 years, the Islamic Finance Industry prospered through the thick and thin of both economic and political upheavals. The seeds of Islamic Finance engrained in 2003 with the advent of ATM have prospered insistently to attract the Muslim dominant populace of the nation.
The basic tenet of Takaful is ordained to share and care about each other. The contribution is donated by the many to help the few unfortunate. In the contemporary context, this can be explained as a cooperative insurance system. Hence, the operator of the fund, for instance ATM, is the fund manager who is responsible to manage the fund according to the policies governing the Tabarru Fund.
The mechanism to distribute and allocate the Surplus and Profits to each Participant takes into consideration of Shariah considerations, equity among Participants, as well as the practicality of the distribution. It is in accordance with ATM’s Surplus Management Policy, approved by relevant parties including the Shariah Committee of ATM.
The company has a reputation for solid fund management and prudent risk profiling. Surplus distribution has continued consistently for the past ten years, starting from 10% progressing through to 15% in 2021. ATM has distributed a sum of MVR 11.34 million to its participants over the past 10 years.
ATM remains committed on proactively taking necessary steps, including prudent underwriting, and offering the best risk management solutions for the sustainability of funds. The company value the trust of the participants and partners and will continue to hold them at the heart of their business assuring of the highest standards of services and access to best Takaful solutions.
To commemorate 10 years of Surplus Distribution ATM hosted a PR event on 25th August 2022 at Mookai Suites inviting all leading news agencies in Maldives.