KUALA LUMPUR: The Malaysian Takaful industry collectively disbursed a total of RM10.20 billion in benefits to certificate holders in 2024, marking a 16.73 per cent increase from the previous year, according to the Malaysian Takaful Association (MTA).
MTA interim chairman Wan Saifulrizal Wan Ismail said the Family Takaful segment accounted for over three quarters, or 77.37 per cent, of the benefits paid in 2024 at RM7.89 billion, while General Takaful disbursed RM2.31 billion.
"The takaful industry remained resilient and well-capitalised. This total payout underscores the industry’s commitment and responsiveness in supporting certificate holders during their critical time of need,” he said during a media briefing today on the 2024 takaful industry performance.
According to Wan Saifulrizal, takaful fund assets in 2024 expanded to a 13.9 per cent market share of total conventional and takaful fund assets valued at RM59.6 billion, up from 11.6 per cent, valued at RM55.7 billion, in the previous year.
"Additionally, the takaful industry’s share of total net contributions increased to 23.9 per cent in 2024 from 23.4 per cent in 2023.
"In ringgit terms, takaful net contributions stood at RM19.0 billion, up from RM17.3 billion in 2023, driven by growth in both Family Takaful and General Takaful,” he added.
For Family Takaful, Wan Saifulrizal said 993,393 new certificates have been issued in 2024, bringing the total number of in-force certificates modestly higher to 6.69 million from 6.60 million in 2023, after accounting for certificate replacements, expiries, or terminations over the same period.
Correspondingly, the total new business gross contribution was RM9.73 billion in 2024, a slight improvement from the RM9.59 billion registered in 2023.
Likewise, he said contributions from business in-force rose to RM9.62 billion in 2024 from RM8.97 billion previously, translated to a 7.20 per cent growth.
"The industry is working hard to expand the reach of Takaful. We believe there is always room for improvement to create a positive impact and address the critical need for protection to build resilience,” he added.
Meanwhile, Wan Saifulrizal noted that the General Takaful segment maintained the positive momentum from 2023 into 2024, with gross written contributions rising year-on-year to RM5.91 billion from RM5.45 billion, representing an 8.46 per cent growth.
"Gross direct contributions also recorded an 8.41 per cent increase, from RM5.44 billion in 2023 to RM5.90 billion in 2024, driven largely by motor Takaful, which continued to dominate, accounting for 68.77 per cent of gross written contributions,” he said.
Moving forward, Wan Saifulrizal said that the takaful industry remains cautiously optimistic for 2025 despite ongoing global uncertainties that pose economic risks.
"MTA will continue coordinating industry-wide efforts to enhance awareness and visibility of Takaful as the preferred Shariah-compliant option to protect the finances, assets, and health of Malaysians.
"We are focused on positioning ourselves as the catalyst for the Takaful industry’s transformation and growth,” he concluded. - Bernama
