Global Takaful Market - Market Research 2015-2019

Overview of the global takaful market

Takaful is a Sharia-compliant Islamic insurance product, where members of the community contribute money or a part of their earnings to a pooling system that guarantees against any loss or damage. The underlying principle of takaful portrays the responsibility of each to cooperate and protect each other. Technavio’s market research analysts predict the global takaful market to grow at a CAGR of around 19% during the forecast period. The robust macroeconomic environment factors and promising demographics in countries with a Muslim population are driving the growth of the market.

The market has ample opportunities in most of the Muslim countries as they have Islamic banks that provide a financially viable and competitive alternative insurance to its policyholders. Islamic banking cannot be fully Sharia-based unless there is takaful to take their insurance business. Consequently, these products are gaining acceptance in emerging markets such as Indonesia and Malaysia as the majority of their population are Muslims, who are more inclined to purchase Sharia-compliant products.

Segmentation by product and analysis of the takaful market

• Global life/family takaful
• Global general takaful