THE Board and Management of Jaiz Takaful Insurance Limited, Thursday, distributed N152 million to over 1000 customers also known as participants at the second Surplus Distribution Ceremony.
Speaking on behalf of the Board, Management and staff, Chairman, Jaiz Takaful Insurance Limited, Hajiya Zainab Abdurrahman, said the distribution of N152 million is about a remarkable milestone of the company’s focus and achievement.
According to Abdurrahman, the distribution embodies the essence of cooperation and mutual assistance, ensuring that we protect one another in times of need.
The N152 million was shared to the participants/clients who did not suffer make any claim in 2021 financial year.
She said: “As we gather here today, we are marking not just the second Surplus Distribution Ceremony of Jaiz Takaful Insurance Ltd but a remarkable milestone in our journey.
“We have come a long way since our inception, and it is a testament to the dedication and
trust our participants have bestowed upon us that we can gather here to distribute a surplus of N152 million. We thank you for this outstanding opportunity.
“Takaful insurance operates on principles deeply rooted in ethics and community. It embodies the essence of cooperation and mutual assistance, ensuring that we protect one another in times of need.
“Our participants place their faith in us, and it is our duty to uphold the principles of transparency, fairness, and responsibility.
“The surplus we are distributing today is not just a financial transaction; it is a symbol of our commitment to our participants and the values that guide us. It signifies our ability to efficiently manage our resources and deliver on the promise of mutual help
“It underscores the success of our business model and the trust you have placed in us.
“This surplus distribution of N152 million is a reflection of the collective efforts of our participants and the dedication of our team at Jaiz Takafu Insurance Ltd. It is a celebration of our shared values and our unwavering commitment to serving our
Meanwhile, she further stated that, “Today, as we distribute this surplus, we are not just providing financial benefits; we are reinforcing the bonds of trust and solidarity that underpin our operations.
“It is a reaffirmation of our promise to stand by you in your times of need and to share
the benefits of our collective success.
“We would like to express our heartfelt gratitude to each and every one of our participants for choosing Jaiz Takaful Insurance Ltd as your partner in safeguarding your future.
“Your trust in us has been our driving force, and we are fully committed to continuously improving our services and delivering on our mission and going beyond fulfilling and surpassing your expectations.”
Abdurrahman also commended the National Insurance Commission, NAICOM, “for their most valuable role as Regulators by encouraging financial inclusion in the country of which Takaful is the most important segment in the insurance industry.”
Earlier, the Managing Director and Chief Executive Officer, CEO, Jaiz Takaful Insurance Limited, Ibrahim Shehu, maintained that the company has been driven by the highest levels of transparency and disclosure, therefore, “Distribution of Surplus to Participants is of great importance to us.”
Shehu also mentioned that they have restored hope and built the trust and confidence of the insuring public.
“Today’s event demonstrates one of the unique Takaful propositions and proves to be another medal on our chest, being one of the leading Takaful operators in the country with a reputation for the highest levels of transparency and disclosure.
“Distribution of Surplus to Participants is of great importance to us as it reflects the Company’s professional commitment to the basic principles of Takaful, which we consider a duty towards our participants.
“Apart from this modest achievement, we are celebrating today, our company has been instrumental in achieving the Federal Government Financial Inclusion Strategy (FSS 2020), thereby deepening insurance penetration.
“We also have restored hope and built the trust and confidence of the insuring public by being Customer-Centric and with prompt settlement of claims.
“The takaful industry in Nigeria is presently a small but growing one, riding on the growth of Islamic financial services. The latest estimates as of 2022 place total direct Takaful premiums/contributions at approximately N8 billion. About half are written on non-family policies”, he said.
He also explained that, “Any person that is our customer is called participants, generally, what we do just as for insurance, we pool people together and put together the resources they contribute in terms of premium and by the end of the year whoever has any incidence of claim is paid off from the participants risk fund and the balance of the participant risk fund is what we are sharing in this gathering.
“In the professional right it is referred to as underwriting profit. Under Takaful what we do is when we collect the contributions we take out our Wakala which is our fees and the remaining balance we put it to risk fund which is the common pools and its from the common pools we pay all related cases regarding claim settlement, adjusters report, accidents engineers and all of that.
“So you net out all of that from the risk fund less then the assurers do the evaluation of the risk fund and then provide it for what we call retention, retention is like typical of reserve in your vehicle , you keep reserve and the balance is what we call the surplus.
“Annually we distribute surplus for the previous year, because all businesses taken under a financial year must elapse then you will be able to value the risk fund. This is exactly what we are doing and this is consistent with Jaiz TAKAFUL we do it and every year the surplus fund keep increasing because of the increased number of participants we now have and that’s how we arrived at this .
“We have over a thousand participants, who are all clearly going to benefit but there are those who we will be using as symbols here to prove that yes, people are truly getting this surplus in fantastic figures that may be some people wouldn’t have thought was possible as benefit, we are just doing an example of how we will distribute the surplus so that people who are benefiting will know that no one is left out.”