Oman's Capital Market Authority issues Takaful Regulation
Thursday, 12 26 2019, Category: Islamic Insurance, Country: Oman
The legislative framework for Takaful products and the companies operating in this sector have been finalised with the issuance of the Takaful Regulation, the Executive President of the Capital Market Authority Sheikh Abdullah Salim Al Salmi said.
The issuance of Decision No. 103/2019 has specified six months for the companies to adjust their position from the date the regulation comes into force on December 23, 2019.
Takaful is a type of Islamic insurance wherein members contribute money into a pool system to guarantee each other against loss or damage. Takaful-branded insurance is based on Sharia or Islamic religious law, which explains how individuals are responsible to cooperate and protect one another.
Regarding the contents of the Regulation, Al Salmi said that the legislation was in response to the growth of Takaful companies in Oman which started four years ago to meet the needs of individuals and institutions including Islamic banks.