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Takaful (Islamic Insurance)

Q – Is it lawful to pay a part of the surplus from the Takaful fund at the end of each year into a reserve kept for the purpose of meeting the demands of takaful, when this is done voluntarily by the subscribers to the takaful?

Also will it be lawful if the shares of all those who withdraw (either by notice or owing to non-payment of premiums) from the mudarabah (established for the takaful) during the period of subscription are returned to such a reserve, and the shares of participants to whom takaful payments in excess of their own contributions have been made?

A.N
Saudi Arabia

A- Yes, it is lawful to pay a part of the surplus from the takaful fund at the end of each year into a reserve kept for the purpose of meeting the demands of takaful, when this is done voluntarily by the subscribers to the takaful fund. Also when their consent to the same is obtained in writing on the application form (for the takaful). It will also be lawful if the shares of all those who withdraw (either by notice or owing to non-payment of premiums) from the mudarabah (established for the takaful) during the period of subscription are returned to the reserve, and likewise the shares of participants to whom takaful payments in excess of their own contributions have been made.