This market research analysis presents detailed segmentation of the global takaful market by product (life/family takaful, general takaful), and by geography (GCC, APAC, and ROW). The leading vendors in the market are Kuwait Finance House, Dubai Islamic Bank, and Malayan Banking Berhad.
Technavio market research analysts estimate the global takaful market to grow at a CAGR of around 19% between 2015 and 2019. The GCC is the largest contributor of the takaful market occupying around 69% share. Saudi Arabia, United Arab Emirates (UAE) and Malaysia are predicted to be the high growth markets in this region. The changing regulation, growing affluence, and growth in organized savings amongst the local customers are the key drivers for the market growth in the GCC.
The new market research report from Technavio provides a breakdown and analysis of the takaful market segments by product.
The life/family takaful segment accounted for nearly 60% of the market share during 2014 and is expected to reach USD 20 billion by 2019. Life, medical and health, accident, and education plans comprise a significant portion of life/family Takaful product segment. The increasing awareness among Muslims about the benefits of life insurance is encouraging the use of financial products that follow Sharia principles. This in turn is providing opportunities for foreign vendors to collaborate with insurance companies providing takaful products and increase their market reach.
Global Takaful Market Segmentation by Product
Source: Technavio Research
“The market has ample opportunities in most of the Muslim countries as they have Islamic banks that provide a financially viable and competitive alternative insurance to its policyholders. Islamic banking cannot be fully Sharia-based unless there is takaful to take their insurance business. Consequently, these products are gaining acceptance in emerging markets such as Indonesia and Malaysia as the majority of their population are Muslims, who are more inclined to purchase Sharia-compliant products,” says Navin Rajendra, IT Hardware and Services, Technavio Research.
The leading vendors in the takaful market are Kuwait Finance House, Dubai Islamic Bank and Malayan Banking Berhad. Most of the Takaful operators are concentrated in the Gulf region. The market is witnessing intense competition due to the low differentiation in the product offerings.
A more detailed analysis is available in the Technavio report, Global Takaful Market – Market Research 2015-2019.
https://www.technavio.com/%3Cp%3E%3Cu%3E%3Cstrong%3E%3Cem%3EWe%20can%20cu…
