Malaysian Takaful Association plans more initiatives to achieve sector's target by 2025

KUALA LUMPUR, Nov 2 (Bernama) -- The Malaysian Takaful Association (MTA) plans to organise more initiatives and discussions related to Value-Based Intermediation for Takaful (VBIT) at the industry level in the coming months to ensure that the industry is able to reach “maturity continuum” targeted for 2025.

The VBIT framework was introduced in June 2021, while the VBIT roadmap was launched in October 2022 to express joint aspirations of the industry to improve its performance.

Deputy chairman Mohamed Sabri Ramli said in his keynote speech at the Takaful Star Awards 2022.that every member's participation and commitment is critical to enable VBIT's success in achieving its aspirations.

Although economic activities have resumed, he said the impact from the pandemic and environmental disaster continues to be felt.

''We have seen and felt the impact from the pandemic and the natural disasters personally and this impact is felt even more when we witness the suffering and difficulties faced by those involved. 

"In this connection, takaful members have risen to meet these challenges to fulfill their responsibilities to care for the community," he said.

He is proud that all takaful operators have taken the initiative to review business processes, revamp procedures and introduce new initiatives to provide relief to affected customers.

Mohamed Sabri said the industry has provided job opportunities and a pathway to raise the income of Malaysians at a time when the country is experiencing an economic slowdown, leading to job scarcity and unemployment.

He said the number of candidates who registered for the Takaful Basic Examination in 2021 rose by nearly 30 per cent, qualifying them to be registered takaful agents.

At end-2021, more than 40,000 of the country’s 112,965 registered agents were new registrants.

“Positive developments were also seen with 25 per cent and eight per cent increase in agency registrations and agency renewals respectively,'' he said.

The Perlindungan Tenang Voucher (PTV) programme launched at end-September 2021 also offered a protection to ease burdens in times of need.

As at Dec 31, 2021, 1.075 million PTVs with net usage exceeding RM54 million were redeemed.

Mohamed Sabri said the industry's achievements in the first half of 2022 were encouraging with new businesses in Family Takaful rising 16.2 per cent, contributing RM5.44 billion against RM4.68 billion a year ago, 

Group Takaful and Individual Family Takaful recorded 34 per cent and 6.7 per cent increases to RM3.43 million and RM1.56 million respectively.

General Takaful business recorded gross contributions of RM2.29 billion in the first half of 2022, a 19.8 per cent rise versus a year ago.

Takaful Motor contributed the lion's share of total gross contribution at 63.4 per cent. 

-- BERNAMA