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 stated that 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.
According to BERNAMA News Agency, Wan Saifulrizal highlighted that the takaful industry remained resilient and well-capitalised, with the total payout underscoring the industry’s commitment to supporting certificate holders during their critical time of need. 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.
For Family Takaful, Wan Saifulrizal reported that 993,393 new certificates were 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. The total new business gross contribution was RM9.73 billion in 2024, a slight improvement from the RM9.59 billion registered in 2023. Contributions from business in-force rose to RM9.62 billion in 2024 from RM8.97 billion previously, translating to a 7.20 per cent growth.
The industry is working to expand the reach of Takaful, with a belief that there is room for improvement to create a positive impact and address the need for protection to build resilience. Meanwhile, the General Takaful segment maintained 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 accounted for 68.77 per cent of gross written contributions.
Moving forward, Wan Saifulrizal stated that the takaful industry remains cautiously optimistic for 2025 despite ongoing global uncertainties posing 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. The focus is on positioning the industry as the catalyst for its transformation and growth.