Product overview
Takaful (Shariah-compliant) explained
Takaful is a Shariah-compliant alternative to conventional insurance. Members contribute to a shared fund (Tabarru'), which pays out claims to other members. Surpluses are returned to participants.
What is Takaful?
Takaful operates on the principle of Ta'awun (mutual cooperation). Members contribute to a Tabarru' (donation) fund, which compensates other members in the event of an insured loss. There is no interest, no excessive uncertainty (gharar), and surpluses are returned to participants.
Why Takaful
- Fully Shariah-compliant with an independent Shariah supervisory board.
- Same risk protection as conventional insurance, structured differently.
- Annual surplus distribution back to participants.
- Available across motor, life, family and business lines.
Available products
- Takaful Motor Comprehensive.
- Takaful Motor Third Party + Own Damage.
- Family Takaful (life protection).
- General Takaful (property and liability).
What you need to apply
- Standard insurance application documents (vary by product).
- Identification (NIN or BVN).
- For motor: vehicle plate number for FRSC lookup.
- For family: beneficiary details.
Common exclusions
- Activities prohibited under Shariah (gambling, alcohol-related risks).
- Standard product-specific exclusions (war, intentional acts, etc).
- Non-disclosure at application.