1. Microtakaful: An instrument for social protection in Nigeria
Salaudeen Jubril Abdullahi PhD, FCIM
Managing Director
SecureHuda Ltd

2. Objective of presentation
The objective of this presentation is:
To serve as guidance to the industry in developing micro- takaful products and will be enhanced by the regulator
To draw on the lessons from collaborations with the industry.
To provoke further discussion which will accelerate, the development of standards for the industry.

3. Looking at Micro-takaful
Takaful is a unique concept and one of the most important social institution to counter poverty and deprivation.
„The Microtakaful is the protection scheme of low-income people. Most of the takaful products can be delivered to the poor with some modification, such as:
small Takaful amount (sum),
short duration,
small contribution (premium) and
low cost method of payments to insure smooth cash flow in/out the Takaful Fund.

4. Micro-takaful defined
Sharia’h compliance Risk-pooling products that are designed to be appropriate for the low-income market in relation to affordable cost, terms, coverage, and delivery mechanisms” (Sirag Elhadi Qarib Allah)

5. Where are we
Households are not covered by any social protection scheme
We are ill-prepared to cope with unexpected expenses and loss of income
More and more people are dropping into the poverty net
Our ‘’Africanness’’ is taking more and more pressure
People are avoiding insurance and insurance products due to design and exposure

6. Why Micro Takaful
An additional or alternative coping strategy for the household
Immediate temporary relief in the event of financial difficulty.
Access to financial resources to cope with sudden large expenses
Peace of mind: knowing that financial relief would be available in an easy and timely manner if an adverse event unexpectedly occurs
Low income sector is not protected by Takaful benefits umbrella

7. Benefits of Micro-Takaful
Helps the poor to sustain their financial well being
Creates feeling of togetherness & security
Opens avenues for joint efforts for mutual Cooperative approach.
Ensures that Society benefits at being.

8. Products Crop and Livestock Micro-takaful Integrated Takaful Package
Health/Hospitalisation Takaful
Savings/Annuities/Endowment
Property Takaful
Personal accident
Life Takaful

9. Gift for operators Goo d corporate governance;
Proper accounting and transparency;
An open voluntary and non
An open, voluntary and non -discriminating membership;
A high degree of autonomy and self A high degree of autonomy and self-reliance; reliance;
Clear focus or objective to hold members together, such as access to affordable insurance products;
Ensuring that everybody has access to, and can afford to join the cooperative.

10. Gift for the Regulator
The poor people across this country deserve a better life, they look up to Allah and you as their leaders
Call every practitioner together and let us put together a structure that will work for us
Copying wholesomely from another country without looking at our peculiarities may not help us
Let us do it together for Humanity

11. Thank You.
End of Presentation