TAKAFUL

I just want to share this information with all the readers about the meaning of the Takaful and the basics term in takaful. Hopefully, this information will help you to understand what is takaful all about.

The term of takaful is derived from the root word kafala which means guarantee or safeguard. The word takafal whose chief characteristics is al-syarikah means sharing. Technically, takaful means mutual guarantee provided by a group of people living in the same society against a defined risk or catastrophe befalling one's life, property or any form of valuable things.

Al-Aqilah (close relatives of the killer)

• They are responsible to pay the blood money to the heir of the victim. 
• The purpose is to make financial contributions on behalf of the killer to compensate the heir of the victim. 
• Such readiness to make monetary contribution could be similar to the premiums in insurance practices, while the compensation paid under al-aqilah could be similar to the indemnity in today's insurance practices, as it is a kind of financial protection for the heir against an unexpected death of the victim.

PRACTICES OF THE HOLY PROPHET (S.A.W)


Al-Diyah (blood money)

• It was paid by al-aqilah to the heir of the victim. 
• The purpose is to rescue the killer from the legal burden. 

Fidyah (ransom)

• Al-aqilah of the prisoner will pay or contribute the ransom to the enemy.
• The purpose is to enable the captive to be freed.