Examining the Feasibility of Waqf (Islamic Endowment)-based Takaful Model from the Malaysian Legal Perspective

اختبار جدوى نموذج التكافل المستند إلى الوقف في ضوء القانون الماليزي

Authors

  • Nan Noorhidayu Megat Laksana Assist. Prof., Department of Fiqh and Usul al-Fiqh, International Islamic University Malaysia
  • Marhanum Che Mohd Salleh Assist. Prof., Department of Finance, Kulliyyah of Economics and Management Sciences, International Islamic University Malaysia
  • Nor Azizan Che Embi Assist. Prof., Department of Finance, Kulliyyah of Economics and Management Sciences, International Islamic University Malaysia

Keywords:

Islamic Endowment, Waqf, Takāful, Legal Perspective

Abstract

In 2004, the State Islamic Religious Council (SIRC) in Malaysia stated their concern on jurisdiction pertaining to control of state waqf assets, which were different among the states in Malaysia. Based on discussions with the legal experts, they have proposed the adoption of the agency principle in order to cater to the issue of control over the waqf fund. This study discusses the feasibility of waqf (Islamic endowment)-based takāful products to be practiced in Malaysia by considering the opinions of SIRC and legal experts in the industry. In order to achieve the research objective, this research adopts a qualitative methodology and focus group discussions with the SIRC representatives and legal experts. Overall, it is found that all respondents have agreed with the proposed waqf-based takāful model as it has special values that may inculcate the culture of brotherhood in society as this concept encourages people to give something to others without receiving any financial return. This study contributes to the discussion of the feasibility of waqf (endowment) principle to be introduced in the takāful products from the legal perspective.

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References

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Published

31-01-2020

How to Cite

Megat Laksana, N. N., Che Mohd Salleh, M., & Che Embi, N. A. (2020). Examining the Feasibility of Waqf (Islamic Endowment)-based Takaful Model from the Malaysian Legal Perspective: اختبار جدوى نموذج التكافل المستند إلى الوقف في ضوء القانون الماليزي. International Journal of Fiqh and Usul Al-Fiqh Studies, 4(1), 118–125. Retrieved from https://journals.iium.edu.my/al-fiqh/index.php/al-fiqh/article/view/175

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English Articles