Takaful system is based on mutual co-operation, responsibility, assurance, protection and assistance between groups of participants. In other words, it is the provision of shared contributions to help those who are in need.

Each people and family have their own needs. Therefore their insurance coverage also different. Here is a basic guideline to calculate or analize your needs. The approach that we take here is to have

* 1 year of expenses coverage – taken from surah al-baqarah 240 ( 1 year salary )
* funeral expenses ( rm3000 – rm5000 depends on location
* credit card debt

Example.
K have a salary of rm3000 monthly and credit card debt of rm5000

Using basic takaful need analysis
Takaful benefit coverage needed = 1 year salary + funeral expenses + credit card debt
= ( 3000×12 ) + 4000 + 5000
= rm45,000.00

Hopefully this basic analysis can help you to evaluate your takaful coverage.

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