Takaful Insurance Market
Takaful Insurance Market Size, Share & Trends Analysis Report by Distribution Channel (Agents & Brokers, Banks, Direct Response, Others), by Type (Family Takaful, General Takaful), by Application (Personal, Commercial), by Region (North America, Europe, Asia Pacific, Latin America, Middle East & Africa) - Global Industry Assessment (2016 - 2021) & Forecast (2022 - 2028)
Market Snapshot
| Takaful Insurance Market Forecast Year: | 2022 - 2028 |
| Takaful Insurance Market Historical Year: | 2016 - 2021 |
| Takaful Insurance Market 2021: | USD 25.1 Billion |
| Takaful Insurance Projected Market 2028: | USD 55.6 Billion |
| Takaful Insurance Market CAGR: | 14.20% |
| Fastest Growing Region: | Asia Pacific |
| Largest Region: | Asia Pacific |
Global Takaful Insurance Market:
Takaful Insurance Market – By Distribution Channel, Type, Application, and Region.
Market Synopsis:
Takaful Insurance is a sharia-compliant insurance system in which members pool their resources to support one another in the event of a loss, damage, or theft. The goal of Takaful Insurance is for people to work together, live in harmony, and protect one another from unforeseen events. Takaful policyholders make regular monetary contributions that are supervised and managed by a Takaful management firm. Nonetheless, the excess money invested is used to make investments that assist policyholders achieve a bigger profit. Takaful Insurance is an insurance system based on the Islamic concepts of mutual help and giving, in which policyholders agree to guarantee each other and contribute to a pool or collective fund rather than pay premiums.
The Takaful fund is created by a pool of collected donations, and each participant's contribution is determined by the type of coverage necessary and their specific circumstances. A Takaful contract, like a traditional insurance policy, outlines the type of the risk and the period of the coverage. A Takaful Insurance operator manages and administers the Takaful fund on behalf of the participants, collecting a fee to cover costs. Moreover, expanded knowledge of Takaful Insurance in both Muslim and non-Muslim countries has increased market penetration by providing better services than traditional insurance, which is a primary driving force behind market expansion.
Furthermore, the distribution of surplus funds among members in the event of no claims and the deployment of technology in the Takaful Insurance Market are two elements driving the market forward. However, lack of standardization due to differences in countries’ willingness to amend Takaful Insurance rules, as well as a lack of awareness of the coverage included in Takaful Insurance policies, is some of the primary challenges impeding the Takaful Insurance Market's growth. In addition, Government actions, on the other hand, that assist the growth of Takaful Insurance by making it easier for new companies to enter the market, would enable new players to offer more innovative solutions to consumers. However, advancements in insurance technologies such as blockchain, predictive analysis, artificial intelligence, and others are likely to significantly improve the Takaful Insurance business in the next years.
Parameter
Details
Market Size Provided for Years
2016-2028
Base Year
2021
Historic Years
2016-2020
Forecast Years
2022-2028
Segments Covered
Region & Counties Covered
Companies Covered
Report Coverage
Market growth drivers, restraints, opportunities, Porter’s five forces analysis, PEST
analysis, value chain analysis, regulatory landscape, technology landscape, patent analysis, market
attractiveness analysis by segments and North America, company market share analysis, and COVID-19
impact analysis
Market Segmentation:
The Takaful Insurance Market is segmented on the basis of Distribution Channel, Type, and Application. Based on Distribution Channel, the market is segmented as Agents & Brokers, Banks, Direct Response, and Others. Based on Type, the market is segmented as Family Takaful and General Takaful. Based on Application, the market is segmented as Personal and Commercial.
Below tree is interactive. You can click the nodes to get more information.
Based on Distribution Channel:
On the basis of the Distribution Channel, the Agents & Brokers are expected to maintain their lead in the market during the projected period. Independent brokers and agents are leveraging many websites and online selling platforms, which has become a prominent trend in the market, as demand for tailored and personalized Takaful Insurance coverage grows. The direct response segment, on the other hand, is predicted to develop significantly throughout the projection period, owing to growing client preferences for acquiring Takaful Insurance directly and a growing number of benefits of direct sales, such as comparatively low production costs and others.
Based on Type:
On the basis of type, Family Takaful is expected to lead the market, Family Takaful is similar to traditional life insurance in that it provides financial protection for you and your family, allowing you to live a better life free of financial worries. Investment-linked family takaful plans allow you to increase your investment returns while still providing coverage and benefits to you and your dependents.
Asia Pacific Region to Stand Firm on its Leading Position in the Takaful Insurance Market
Asia Pacific is accounted to grow at the fastest Compound Annual Growth Rate (CAGR) during the forecast period. The rise is linked to increased awareness of the benefits of Takaful Insurance, which has been fueled by recent political and tragic events. Furthermore, demographic effects such as an expanding population base, a significant foreign workforce, and rising life expectancy are projected to have a positive impact on Takaful Insurance demand. The region is expected to grow significantly during the forecast period, owing to rising digitization in various Asian countries and the adoption of advanced technology by Takaful Insurance service providers to increase sales and market value, which is propelling the market in this region forward.
The key players in the Global Takaful Insurance Market include- Abu Dhabi National Takaful Co., Allianz, AMAN Insurance, Islamic Insurance, Prudential BSN Takaful Berhad, Qatar Islamic Insurance, SALAMA Islamic Arab Insurance Company, Syarikat Takaful Brunei Darussalam, Takaful International, Zurich Malaysia and others.
Segmentation of the Global Takaful Insurance Market:
Frequently Asked Questions
-
What is
the global demand for Takaful Insurance
in terms of revenue?
The global Takaful Insurance valued at USD 25.1 Billion in 2020 and is expected to reach USD 55.6 Billion in 2028 growing at a CAGR of 14.20%
-
Which
are the prominent players
in the market?
The prominent players in the market are Abu Dhabi National Takaful Co., Allianz, AMAN Insurance, Islamic Insurance, Prudential BSN Takaful Berhad, Qatar Islamic Insurance, SALAMA Islamic Arab Insurance Company, Syarikat Takaful Brunei Darussalam, Takaful International, Zurich Malaysia.
-
At what CAGR is the market projected to grow within the forecast period?
The market is project to grow at a CAGR of 14.20% between 2021 and 2028.
-
What are
the driving factors
fueling the growth of the market.
The driving factors of the Takaful Insurance include
- Growth in demand of takaful insurance across Muslim majority countries
-
Which
region accounted for the
largest share in the market?
Asia Pacific was the leading regional segment of the Takaful Insurance in 2020.
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