Appraising the Universal Concepts of Insurance and Takaful: Similarities and Differences


  • Abi Huraira Rifas Department of Islamic Studies, South Eastern University of Sri Lanka, Sri Lanka
  • Asmak Ab Rahman Department of Shari’ah and Economics, Academy of Islamic Studies, Universiti Malaya, 50603 Kuala Lumpur Malaysia
  • Ahmad Hidayat Buang Department of Shari’ah and Laws, Academy of Islamic Studies, Universiti Malaya, 50603 Kuala Lumpur Malaysia



Takaful, Islam, Shari’ah and Insurance Principles


Social security is a crucial part in human life, which is consisted pre-arrangements against risky life. Takaful is an essential approach which provides confidence and ethical guidlines in protecting assets. Takaful, is considering Shari’ah principles, also applies the same principles of insurance for its operation even though insurance consists of some prohibited elements in Islam. The objectives of this study are to analyse the governing principles of insurance and takaful and explain how Islam focuses on these principles and ethical aspects in takaful operation from Shariah perspective. The study is designed as documentary research which provides conceptual and theoretical knowledge, and it uses secondary sources such as journal articles, books, reports, as well as main sources of Islamic law. Findings of the study are that principles that are applied in takaful comply with shariah. Similarly, Shari’ah usually does not prohibit general guidelines which are created even in conventional institutions; however, it strictly prohibits the elements which are nocuous to the community. The advantage of takaful is making confidence and truth under religion, which is to be applied in transactions, social life to be free from fear, privation, and poverty. This research supports to takaful researchers and operators to be educated strongly on principles with shariah views and takaful’s importance.

Author Biographies

Asmak Ab Rahman, Department of Shari’ah and Economics, Academy of Islamic Studies, Universiti Malaya, 50603 Kuala Lumpur Malaysia

Associate Professor Asmak Ab Rahman

Department of Shariah and Economics

Academy of Islamic Studies

Universiti Malaya, 50603 Kuala Lumpur


Ahmad Hidayat Buang, Department of Shari’ah and Laws, Academy of Islamic Studies, Universiti Malaya, 50603 Kuala Lumpur Malaysia

Professor Ahmad Hidayat bin Buang

Department of Shariah and Law

Academy of Islamic Studies

Universiti Malaya, 50603 Kuala Lumpur




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How to Cite

Rifas, A. H. ., Ab Rahman, A. ., & Buang, A. H. . . (2023). Appraising the Universal Concepts of Insurance and Takaful: Similarities and Differences. UMRAN - International Journal of Islamic and Civilizational Studies, 10(1), 1–15.