PS 3218 1.15 Family Takaful (Part 3)

Family Takaful (Part 3)

1. How to make a death claim for the family takaful?

The beneficiary/family will get:

· All his savings with the takaful company (PA)

· All business profits that have been declared and credited into his PA

· All unpaid contribution including the PSA

2. B began participating in a 25-year family takaful plan 15 years ago when he was 40 years old. He contributed $500 per year. During these 15 years, the company had given a total of $900 into his PA and PSA. Yesterday B suffered a heart attack and died. The tabarru’ rate applied to his plan was 12.5%.

(a). What was B’s total savings with the takaful company during the 15 years (PA)?

(b). The sum of business profits that have been declared and credited into his PA.

(c). How much is the total unpaid contribution after his unfortunate death?

(d). Calculate the total sum of money the company will pay B’s family.

(a). PA = 87.5% x 15 x $500 = $6 562.50

(b). PA = 87.5% of $900 = $ 787.50

(c). PA = 10 x $500 = $5000

(d). $6 562.50 + $787.50 + $5000 = $12 350.00

3. How to make a maturity claim?

The participant will get upon maturity:

· All total PA with the takaful company

· All business profits that have been declared and credited into his PA

· Additional benefits that the takaful company may declared based on the accumulated PSA contribution.

4. C took up a 25-year family takaful plan when he was 40 years old. He contributed $500 per year. During this period the takaful company had given a total sum of $1800 as profits into his PA and PSA. The tabarru’ rate is 12.5%. The takaful company did not give any additional benefits to him.

(a). Calculate the total C’s savings with the takaful company during the 25 years of participation (PA).

(b). Calculate the sum of business profits that have been declared and credited into his PA.

(c). Calculate the total sum of money the takaful company will pay to C as maturity claim.

(a) PA = $500 x 25 x 87.5% = $10 937.50

(b) PA = $1800 x 87.5% $1575.00

(c) Total PA = $ 10 937.50 + $1575.00 = $12 512.50