The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits

A family takaful certificate is normally subscribed by a takaful participant for the purpose of preparing financial support for his dependants after his death. In 2003, the Shariah Advisory Council (SAC) of Bank Negara Malaysia (BNM) resolved that the benefits could be made as a conditional hibah to...

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Main Authors:	Salleh, Safinar, Halim, Akmal Hidayah, Abdullah, Mohamad Asmadi, Ibrahim, Uzaimah
Format:	Conference or Workshop Item
Language:	English English
Published:	2018
Subjects:	HG8719 Islamic Insurance Takaful KBP Islamic Law
Online Access:	http://irep.iium.edu.my/65845/ http://irep.iium.edu.my/65845/ http://irep.iium.edu.my/65845/1/slide.pdf http://irep.iium.edu.my/65845/13/65845_The%20Objectives%20of%20Shariah-%20tentative.pdf

id	iium-65845
recordtype	eprints
spelling	iium-658452018-09-26T08:41:35Z http://irep.iium.edu.my/65845/ The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits Salleh, Safinar Halim, Akmal Hidayah Abdullah, Mohamad Asmadi Ibrahim, Uzaimah HG8719 Islamic Insurance Takaful KBP Islamic Law A family takaful certificate is normally subscribed by a takaful participant for the purpose of preparing financial support for his dependants after his death. In 2003, the Shariah Advisory Council (SAC) of Bank Negara Malaysia (BNM) resolved that the benefits could be made as a conditional hibah to a nominee named as the beneficiary in the takaful certificate. This resolution has later been codified in the Islamic Financial Services Act (IFSA) 2013. The new law does not specify the individual to be nominated as the beneficiary and the participant is thus free to decide to who the benefits are to be given. In spite of the approval by the SAC, the position of such nomination has stirred debates since the position of the benefit is merely based on the nomination made by the participant. Such benefit would be an estate if the nominee is named as a wasi or executor. However, if the participant opted to name the nominee as a beneficiary under conditional hibah, the benefit would not then be considered as an estate and would absolutely belong to the nominee despite the existence of other dependants who might also be in need of the money. Therefore, this research aims to juristically evaluate the rules on nomination as provided under IFSA 2013 and the status of conditional hibah from the Shariah perspective. This research specifically focuses on family takaful certificates effected by takaful participants upon their lives providing for the payment of takaful benefits upon their death. The research predicates that the application of conditional hibah to the whole of the takaful benefit does not reflect the objectives of Shariah as determination on the status of the benefit is solely based on the nomination made by the participant. Hence, further research should be carried out to ascertain the position of the takaful benefit so that the rights of all parties are protected and not adversely affected. 2018-04 Conference or Workshop Item NonPeerReviewed application/pdf en http://irep.iium.edu.my/65845/1/slide.pdf application/pdf en http://irep.iium.edu.my/65845/13/65845_The%20Objectives%20of%20Shariah-%20tentative.pdf Salleh, Safinar and Halim, Akmal Hidayah and Abdullah, Mohamad Asmadi and Ibrahim, Uzaimah (2018) The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits. In: 7th International Conference on Law And Society (ICLAS 7), 11th-13th April 2018, Kota Kinabalu, Sabah. (Unpublished) https://iclas2018.org/parallel-sessions/
repository_type	Digital Repository
institution_category	Local University
institution	International Islamic University Malaysia
building	IIUM Repository
collection	Online Access
language	English English
topic	HG8719 Islamic Insurance Takaful KBP Islamic Law
spellingShingle	HG8719 Islamic Insurance Takaful KBP Islamic Law Salleh, Safinar Halim, Akmal Hidayah Abdullah, Mohamad Asmadi Ibrahim, Uzaimah The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
description	A family takaful certificate is normally subscribed by a takaful participant for the purpose of preparing financial support for his dependants after his death. In 2003, the Shariah Advisory Council (SAC) of Bank Negara Malaysia (BNM) resolved that the benefits could be made as a conditional hibah to a nominee named as the beneficiary in the takaful certificate. This resolution has later been codified in the Islamic Financial Services Act (IFSA) 2013. The new law does not specify the individual to be nominated as the beneficiary and the participant is thus free to decide to who the benefits are to be given. In spite of the approval by the SAC, the position of such nomination has stirred debates since the position of the benefit is merely based on the nomination made by the participant. Such benefit would be an estate if the nominee is named as a wasi or executor. However, if the participant opted to name the nominee as a beneficiary under conditional hibah, the benefit would not then be considered as an estate and would absolutely belong to the nominee despite the existence of other dependants who might also be in need of the money. Therefore, this research aims to juristically evaluate the rules on nomination as provided under IFSA 2013 and the status of conditional hibah from the Shariah perspective. This research specifically focuses on family takaful certificates effected by takaful participants upon their lives providing for the payment of takaful benefits upon their death. The research predicates that the application of conditional hibah to the whole of the takaful benefit does not reflect the objectives of Shariah as determination on the status of the benefit is solely based on the nomination made by the participant. Hence, further research should be carried out to ascertain the position of the takaful benefit so that the rights of all parties are protected and not adversely affected.
format	Conference or Workshop Item
author	Salleh, Safinar Halim, Akmal Hidayah Abdullah, Mohamad Asmadi Ibrahim, Uzaimah
author_facet	Salleh, Safinar Halim, Akmal Hidayah Abdullah, Mohamad Asmadi Ibrahim, Uzaimah
author_sort	Salleh, Safinar
title	The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
title_short	The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
title_full	The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
title_fullStr	The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
title_full_unstemmed	The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits
title_sort	objectives of shariah (maqasid al-shariah) in nomination for the payment of family takaful benefits
publishDate	2018
url	http://irep.iium.edu.my/65845/ http://irep.iium.edu.my/65845/ http://irep.iium.edu.my/65845/1/slide.pdf http://irep.iium.edu.my/65845/13/65845_The%20Objectives%20of%20Shariah-%20tentative.pdf
first_indexed	2023-09-18T21:33:24Z
last_indexed	2023-09-18T21:33:24Z
_version_	1777412661546319872

The objectives of Shariah (Maqasid al-Shariah) in nomination for the payment of family takaful benefits

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