1. Takaful Dr Karim Ullah Assistant Professor, IMSciences
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
Dr Karim Ullah
Assistant Professor, IMSciences
PhD (Islamic Financial Service)
Brunel University, London
BBA (Hons) Finance

2. Takaful
Aim
To develop theoretical and practical understanding of Islamic alternative to Insurance called Takaful
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

3. Takaful
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

4. Course Plan Takaful Takaful & Risk (miscellaneous)
Shariah Based Life and Takaful (Mohammad Ayub, 2008; Karim Ullah & Wafi Al-Karagholi, 2015– In write-up)
Perspectives of Takaful (Service) (Karim Ullah and Wafi Al-Karagholi, 2015 – in write-up)
The Business Models of Takaful (Ayub, 2008; Simon Archer et al, 2011)
Takaful Package Development Process (Habib Ahmed, 2011)
Designing Takaful as Service (Karim Ullah, 2014)
Takaful Typology (Miscellaneous)
Takaful Operations (Miscellaneous)
Supervisory Issues in Takaful (SECP Takaful Rules 2012)
Takaful Market (Global Takaful Insights 2013)
The Case in Focus: Pak-Qatar Takaful Limited Pakistan
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

5. Class Engagement Lecture Critical Discussion
Takaful
Class Engagement
Lecture
Critical Discussion
Readings: KYK (Know Your Knowledge) Sheets, Transcripts, Slides.
Semester Project
A note on Arabic terminology
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

6. How to fail the course! effectively
Takaful
How to fail the course! effectively
Absence
When technology is playing with you
Over simplicity/complexity assumption
Bi-polar approach
Plagiarism
Respect
Inferiority & superiority complex
Discipline
Shariah Compliant Markets and Instruments
BBA (Hons) Finance

7. Takaful
Takaful & Risk
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

8. Takaful
Takaful Defined
A Shariah based preparedness mechanism (service) for Risk
Is it acceptable in Islam?
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

9. Risk: The Reason for Takaful
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

10. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

11. Takaful
Risk
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

12. Takaful
Risk
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

13. Takaful
Risk
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

14. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

15. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

16. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

17. Risk: some definitions
Takaful
Risk: some definitions
The possibly of loss
The probability of an unfavorable event(s)in future
The potential variability of future outcomes
Synonyms:
The possibility of loss
The probability of loss
Danger
A hazard
The property of person exposes to damage or loss
Potential losses
Variation in potential losses
Uncertainty concerning loss
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

18. Uncertainty | Loss So, Takaful
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

19. Knowledge and Risk: Islamic perspective
Takaful
Knowledge and Risk: Islamic perspective
To Allah belong all things in Heaven and earth: verily Allah is He that is free of wants, worthy of all praise. “Holy Quran, 31: 26
“Verily, Allah is all-knowing, all-aware” 31:34
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

20. The nature of risk Unpleasant outcomes
Takaful
The nature of risk
Unpleasant outcomes
Takaful (attempts to) guarantee risk avoidance
Preparedness and compensation towards potential loss, damage, or destruction of items of value (including Life)
The impact of risk can be mitigated by human intervention (management)
Risk measurement
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

21. Types of Risk Pure Risk: Loss | No change
Takaful
Types of Risk
Pure Risk: Loss | No change
Speculative Risk: Loss | no change | gain (Maysir)
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

22. Maysir
يَـأَيُّهَا
الَّذِينَ آمَنُواْ إِنَّمَا الْخَمْرُ وَالْمَيْسِرُ وَالاٌّنصَابُ وَالاٌّزْلاَمُ رِجْسٌ مِّنْ عَمَلِ الشَّيْطَـنِ فَاجْتَنِبُوهُ لَعَلَّكُمْ تُفْلِحُونَ
“O you who believe! Khamr, Maysir, Ansab (stone alter), and Azlam (arrows or dicing) are a filth of Shaytan’s handiwork. So avoid that in order that you may be successful.”
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

23. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

24. (Usually) Qualified Risks for Takaful
A Large number of familiar loss exposure units
Losses are definite, measurable, and important
Losses are fortuitous and beyond the control of the individuals or group (s) concerned; and
The potential for catastrophic loss is unlikely to be covered
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

25. (Usually) Disqualified Risks
Takaful
(Usually) Disqualified Risks
No monetary value
No insurable interest (as required by law)
Illegal or unlawful activity (including Shariah Law)
Vice or dishonest behavior contributing to the risk (i.e., fraud)
Some catastrophes: nuclear accident, famine or war
Public policy exclusions such as fines or criminal acts
Usual wear and tear and depreciation on property
Other factors: delay, vermin, market agreements, government confiscation or authority, etc.
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

26. Shariah Based Life (& Takaful)
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

27. “There is no God but Allah, and Muhammad is the Massager of Allah”
Takaful
Shariah Based Life
“There is no God but Allah, and Muhammad is the Massager of Allah”
Sources
Quaran
Sunnah
Ijmah
Qiyas
Commandments
Faith & Belief (Aqidah)
Ethics & Morality (Akhlaq)
Laws and Rules (Fiqh)
Means for Life
Essentials (Duruiyyat)
Complements (Hajiyyat)
Beautifications (Tahsiniyat)
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

28. Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah

29. Primary Objectives (Maqasid) of Shariah
Takaful
Primary Objectives (Maqasid) of Shariah
Safeguarding Faith
Safeguarding Life
Safeguarding Progeny
Safeguarding Property
Safeguarding Intellect
Safeguarding Honour
Takaful:
Relevance?
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

30. The Practice of Takaful Service
Introduction
Rational Behavior (Roshd)
Co-operation
Zakat, Ushar, Sadqah
Deya, Acqela, Qasama
Local Takaful Practices
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

31. What is Wrong with The Commercial Insurance (Service)
Takaful
What is Wrong with The Commercial Insurance (Service)
Exploitative Profits
Gharar
Maysir
Ghaban
Jahalah
Prohibited goods/actions
Riba
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance

32. Cores of risk protection in Takaful Service
Nea’a
Shariah conditions
Moral values and ethics
Islamic commercial contracts
Class: BBA (Hons) Course: Takaful Instructor: Dr Karim Ullah
BBA (Hons) Finance