Takaful Ikhlas Aims For RM65 Mln In Premium From Govt Staff

KUALA LUMPUR -- Takaful Ikhlas Sdn Bhd which provides Islamic insurance (takaful) services and products expects its products for government servants to contribute a premium of RM65 million for the financial year ending March 31, 2008.

This will account for 15 percent of the total RM400 million premium the company has projected for the year.

The company's senior vice president for its Business Operations, Wan Mohd Fadzullah Wan Abdullah, said the premium collection for the government staff products segment was expected to increase to 20 percent of the total premium collection by the year ending March 31, 2009.

A majority of the premium is expected to come from the products specially offered through the Housing Loan Division (BPP) of the Treasury, he said.

The takaful company was appointed to the BPP panel in 2006.

BPP is a government body under the Finance Ministry and it is responsible for taking care of housing loans given to the staff of the public sector.

Through the BPP panel, Takaful IKHLAS offers its mortgage and house owner insurance plans, IKHLAS Takaful Gadaijanji and IKHLAS Takaful Pemilik Rumah, to civil servants applying for housing loans.

The IKHLAS Takaful Gadaijanji plan covers death and permanent disability as well for the borrowers.

Family members of the borrower will not face the hassle of having to pay back the loan or sell the property which has been mortgaged, to pay back the loan.

IKHLAS Takaful Pemilik Rumah meanwhile offers compensation protection for losses or damage to residential homes from fire as well as floods and other specified damages.

Fadzullah said that so far more than 100,000 government staff have signed up for the protection plan.

Most of them are from the armed forces, as well as the Health Ministry and Education Ministry.

Takaful IKHLAS which began operations in 2003 with a paid up capital of RM100 million, is a subsidiary company of MNRB Holdings Bhd.