A key cornerstone of financial planning is the ability to cover your current and future liabilities in the event of unforeseen circumstances. This is of critical importance especially in the early part of one’s life when your income is the prime source of financial security and the key to creating future wealth and prosperity for yourself and your family.
Ask yourself – what happens if I die too soon or I get a serious illness or accident? Without adequate cover or assets, this will be a financial disaster for yourself and your family. To cover this risk and create a financial safety net, one can use Takaful protection products.
Takaful is an ethical alternative to conventional protection products. It is a mutual agreement between contributors (i.e. policy holders) to help each other in times of distress. The pooled fund out of which expenses are met and claims are paid is owned by the policyholders, not the Insurance Company.
The key components of Family Takaful are:
Life Assurance: Pays out a lump sum to your family in the event of your death.
Critical Illness Cover: Pays out a lump sum in the event of diagnosis of a defined critical illness.
“It is better for you to die leaving your offspring wealthy rather than leaving them poor, asking for help from others.”
Hadith related by Anas bin Malik Bukhari