
- 13 January 2025
- Jilani Ben Lagha - AMEF Consulting
- 0 Comments
OVERVIEW OF TAKAFUL INSURANCE
I. TAKAFUL insurance
Takaful insurance is based on the Islamic principles of solidarity and risk sharing. It operates on a participatory model in which members contribute to a common fund. In the event of a claim, this fund is used to compensate participants.
Unlike conventional insurance, the Takaful model :
- Avoids interest (riba): No gains from interest.
- Reduces uncertainty (gharar): contracts are transparent.
- Eliminates speculation (maysir): No speculative practice.
Unused profits are equitably redistributed or reinvested in the fund, according to Sharia rules and regulatory instructions.
II. TAKAFUL Insurance in Tunisia
Tunisia has integrated Takaful to meet the expectations of consumers looking for ethical solutions, with three operators on the market for some fifteen years, covering the following products:
- Life insurance: Coverage in the event of death or disability.
- Health insurance: Coverage of medical and hospital expenses.
- Automobile insurance: Protection against accidents, theft and damage.
- Business insurance: Coverage for property, liability and other professional risks.
Although the market is still in a growth phase, local companies are beginning to offer solutions tailored to individuals and businesses, while facing the following challenges:
- Low consumer awareness.
- Limited range of products compared with conventional insurance.
- Lack of innovation in certain products to meet more diversified demand.
III. TAKAFUL insurance worldwide
The global Takaful insurance market is booming, especially in regions where Islamic finance is well established.
Key regions :
- Gulf countries (GCC): Saudi Arabia and the United Arab Emirates dominate with a large market share.
- Southeast Asia: Malaysia and Indonesia are leaders thanks to advanced regulation and innovative products.
- Africa: Tunisia, Morocco, and Egypt show steady growth.
Key figures:
- The global Takaful market reached 24 billion USD in 2021.
- It is expected to reach 55 billion USD by 2030 , with an estimated average annual growth rate of 13% .
Global trends :
- Adoption of digitization to facilitate management and underwriting.
- Expansion into non-Muslim countries to meet global ethical demand.
- Integration with other Islamic financial products, such as Sukuk.
Global challenges :
- Lack of regulatory harmonization between countries.
- Limited awareness in some emerging markets.
- Increasing competition with conventional insurance.
The following table gives an idea of the positioning of Takaful in Tunisia and elsewhere:
Aspect | Tunisia | International |
Market maturity | Under development, limited. | Mature market in the Gulf States and Asia. |
Available products | Mainly life, health, auto. | Complete range, including retirement and real estate. |
Technology | Initiatives are still modest. | Strong adoption of digital tools. |
Annual growth | Modest, but promising. | Strong growth (+13% per year). |
IV. Conclusion
Takaful insurance, based on the values of solidarity and ethics, is enjoying promising growth in Tunisia, although the market is still in an emerging phase.
On a global scale, the sector is showing strong momentum, driven by innovation and growing demand.
To strengthen its position, Tunisia will need to diversify its products, raise consumer awareness and integrate new technologies.