Motivating Factors in Contributing to Socio-Economic Objectives during the Pandemic of COVID-19: The Case of Malaysian Takaful Operators

Authors

  • Noor Aimi Mohamad Puad Universiti Islam Selangor
  • Nurauliani Jamlus Rafdi Universiti Islam Selangor
  • Norlita Zainudin Universiti Islam Selangor

DOI:

https://doi.org/10.53840/jmm.v13i2.169

Keywords:

Takaful Operators, Socio-Economic, Pandemic, VBIT

Abstract

Malaysian takaful businesses have established their legitimacy with notable gains in market structure and net contribution income. Takaful is one of the most important financial products for wealth protection. Despite its significance, less than 50% of Malaysians as a whole have access to takaful. Takaful operators are governed by pertinent laws in addition to adhering to Shariah standards because they are professional organisations with the authority to operate in providing Shariah-compliant protection coverage to society. The Life Insurance and Family Takaful Framework initiative is one of the approaches from a regulatory perspective. Socioeconomic problems are also seen from the perspective of the Takaful operation institution itself. It is definitely intriguing to learn how the two perspectives are combined to provide the desired result for the entire Malaysian community. The main objective of this study is to explore the motivating factors of Takaful Operators in contributing for socio-economic objectives during the pandemic of Covid-19. To achieve the objective, ten takaful operator respondents will be questioned to get their thoughts on the subject. The research objectives also are in keeping with the Value-Based Intermediation for Takaful (VBIT) framework, which was created to provide inclusive protection for disadvantaged or underserved societal sectors and to solve key socioeconomic challenges.

Downloads

Download data is not yet available.

References

Ahmed, M. H. (2016). Micro Takaful Insurance as a Tool to Guaranteeing Financing andProtecting Micro Enterprises. Journal of Business & Financial Affairs, 7(45), 65-81.

Al-Mubarak, M. I. (1982). Empirical analyses of the relationships among environment, managerial influence, and boundary spanning activity. Unpublished doctoral dissertation, Arizona State University.

Al-Shatibi, A. I. I. (1996). Al-Ifadat wa al-Insyadat. Kaherah: Dar al-Hadith.

Bank Negara Malaysia (BNM) (2023). Guideline for audit committee and internal audit department. Malaysia. Retrieved May 29, 2022, from https://www.bnm.gov.my/regulations/fsp-directory.

Collins, J. C., & Porras, J. I. (2008). CMR Classics: Organizational Vision and Visionary Organizations. California Management Review, 50(2), 117-137.

Efe, A. (2017). Economic Sociology of Islam According to The Risale-i-Nur. Turkish Journal of Islamic Economics, 5(1), 63-87.

Elengoe, A. (2020). COVID-19 Outbreak in Malaysia. Osong Public Health and Research Perspectives, 11(3),93-100.

Fauzi, P.N.F.N.M., Abdul Rashid, K, Ahmad Sarkawi, A, Hasan, S.F, Aripin, S., & Ariffin, M.A. (2016). Takaful: A Review on Performance, Issues, and Challenges in Malaysia. Journal of Scientific Research and Development, 3(4), 71-76.

Franzoni, S. & Ait, A. A. (2018). Principles of Islamic Finance and Principles of Corporate Social Responsibility: What Convergence? Sustainability,10(3),637.

Furqani, F. (2017). Consumption and Morality: Principles and Behavioral Framework in Islamic Economics. JKAU: Islamic Econ., 30 (Special Issue), 89-102

Gralinski, L.E.& Menachery, V.D. (2020). Return of the Coronavirus: 2019-nCoV. Viruses, 12(2), 135.

Hashim, J. H., Adman, M. A., Hashim, Z., Mohd Radi, M. F., & Kwan, S. C. (2021). COVID-19 Epidemic in Malaysia: Epidemic Progression, Challenges, and Response. Frontiers in public health, 9, 560592. https://doi.org/10.3389/fpubh.2021.560592

Kamal, A., Sulaiman @ Mohamad, A. A. ., & Mohamad, M. T. (2022). The Model Strategy of Offering Microtakaful under Perlindungan Tenang Initiative/ Model Strategi Penawaran Takaful Mikro di bawah Inisiatif Perlindungan Tenang. Sains Humanika, 14(2), 31–50.

Maduku, D.K. & Mbeya,S. (2023). Understanding Family Takaful Purchase Behaviour: The Roles of Religious Obligation and Gender. Journal of Financial Services Marketing.

Makokha, H. M. (2017). Islamic Economics and Finance. Retrieved May 26, 2022, from https://www.academia.edu/32249764/Islamic_Economics_and_Fin ance.

Mukhtar,S. (2013). Insuring the Uninsurable for Poverty Alleviation in Nigeria: What Micro-Insurance can do? Mediterranean Journal of Social Science, 4(2), 375-380.

Muttaqien, M., Setiyaningsih, H., Aristianti, V., Coleman, H.L.S, & Hidayat, M.S., et al. (2021) .Why did informal sector workers stop paying for health insurance in Indonesia? Exploring enrollees’ ability and willingness to pay. PLOS ONE, 16(6).

Pathak, A. & Intratat, C. (2012). Use of Semi-Structured Interviews to Investigate Teacher Perceptions of Student Collaboration. Malaysian Journal of ELT Research, 8 (1), 1-10.

Patton, M. Q. (2002). Qualitative evaluation and research methods (3rd ed.). Thousand Oaks,CA: Sage Publications, Inc.

Pinto,V. (2015). Role of NGOs in Promoting Micro Health Insurance: A Study with Reference to ‘Sampoorna Saraksha’ Health Insurance Scheme by SKDRDP, Bangalore (India). South Asia Journal of Business and Management Cases,.4(2), 251-261.

Riad, M. R., Hassan, R., Salman, S. A., & Yusoff, A. (2021). Development of Takaful Industry in Malaysia. Journal of Islamic Banking and Finance (January - March), 40-54

Secon H., Woodward A., Mosher D., Business Insider U.S. Business Insider Malaysia; (2020). A comprehensive timeline of the new Coronavirus pandemic, from China's first COVID-19 case to the present. Retrieved April 1, 2020, from https://www.businessinsider.my/coronavirus-pandemic-timeline-history-major-events-2020-3?r=US&IR=T

Shah, A. U. M., Safri, S. N. A., Thevadas, R., Noordin, N. K., Rahman, A. A., Sekawi, Z., Ideris, A., & Sultan, M. T. H. (2020). COVID-19 outbreak in Malaysia: Actions taken by the Malaysian government. International journal of infectious diseases: IJID : official publication of the International Society for Infectious Diseases, 97, 108–116.

Wan Jusoh, W.N.H. (2023). Takaful Market Penetration in Malaysia: Strategies To Move Forward. Jurnal ‘Ulwan, 8(1), 178-188.

World Health Organization (WHO). (2019). Pneumonia. Retrieved March 29, 2020, from https://www.who.int/news-room/fact-sheets/detail/pneumonia.

World Health Organization (WHO). (2020). Coronavirus disease (COVID-19) advice for the public. Retrieved March 31, 2020, from https://www.who.int/emergencies/diseases/novel-coronavirus-2019/advice-for-public.

World Health Organization (WHO). (2020). Coronavirus disease 2019 (COVID-19) situation report—44. Retrieved March 31, 2020, from https://www.who.int/docs/default-source/coronaviruse/situation-reports/20200304-sitrep-44-covid-19.pdf?sfvrsn=783b4c9d_2.

World Health Organization. (2020). WHO Statement regarding cluster of pneumonia cases in Wuhan, China. Retrieved March 31, 2022, from https://www.who.int/china/news/detail/09-01-2020-who-statement-regarding-cluster-of-pneumonia-cases-in-wuhan-china.

Yore, R. & Walker, J.F. (2019). Microinsurance for disaster recovery: Business venture or humanitarian intervention? An analysis of potential success and failure factors of microinsurance case studies, International Journal of Disaster Risk Reduction,33(1), 16-32.

Published

2023-11-30

How to Cite

Mohamad Puad, N. A., Jamlus Rafdi, N., & Zainudin, N. (2023). Motivating Factors in Contributing to Socio-Economic Objectives during the Pandemic of COVID-19: The Case of Malaysian Takaful Operators. Journal of Management and Muamalah , 13(2), 102 - 113. https://doi.org/10.53840/jmm.v13i2.169