Noor Takaful participants share N109.84m surplus

Noor Takaful Insurance has distributed a surplus of N109.84 million to individuals and corporate organizations that participated in its business in the year 2020.

Muhtar Bakare, chairman of the company addressing participants and stakeholders at the 2020 surplus distribution event held in Lagos said a total of N109.84 million was approved by the National Insurance Commission (NAICOM) for distribution to the company’s general and family takaful participants.

He said out of the amount, general takaful participants got N74.17 million, while N35.73 million went to family takaful participants.

Bakare said the distribution of surplus is an affirmation of the importance of Takaful insurance and it’s imperative to building a strong and prosperous communities.

“It is now imperative that we build resilient communities of common interest through resources and shared values in which members can find some measures of protection from the uncertainties of life.”

“On the role of the most recent devastation, we can now begin to build with some confident new ways of creating, distributing and preserving wealth that are more ethical and more inclusive driving with less selfishness and creed but more by mutual trust and commemoration.”

“What we are doing here today is an affirmation of the efficacy of opening the doors of modern financial services to the thousands of our brothers and sisters who were previously excluded for whatever reason from the formal economy by helping them to achieve reasonable levels of financial stability in their lives and in their businesses.

‘’As a Takaful Insurance company, the essence of our business is to provide our participants with tenable options which are not only consistent with their own values but also give them support when they need help and provide materials comfort and succour through timely payment of claims,’’ Bakare said.

He said in 2021 the company paid over N1.9 billion in claims representing 22 per cent which he said is ‘’one of the best in the entire insurance industry.’’

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Aminu Tukur, vice-chairman, Noor Takaful, while speaking on the company’s operation performance during the period under review said the firm’s operational framework strictly follows takaful principles.

He said ‘Takaful’ entails contract donation into a shared pool of funds, which involves a mutual guarantee among participants.

Tukur said the payments covered the period of Jan 1 to Dec 31, 2020, and participants will receive 16 percent return higher than 13 percent of 2019 and 10 percent of 2018 surplus.

Hajara Adeola, managing director/CEO, Lotus Capital, while explaining the concept of Takaful Insurance said Takaful is based on social solidarity and cooperation, adding that ‘’there is a big difference between the conventional insurance with Takaful although both have the same purpose which is to protect the policyholder from loss but there are major differences between the two.’’

She said ‘’In conventional insurance, the risk is transferred from the insured to the insurer but on the other hand, takaful is based on shared risk where participants donate to the fund and in the event of loss, the participant receives the amount of his claim.’’

Lotus Capital boss said globally over 2.2 trillion US dollars non interest finance industry will expand to between 10-12 per cent this year alone, adding the growth is more than the economies of Kenya, Ghana, Cameroun and Ivory Coast combined.

She said “within the global landscape, there are 320 Takaful operators in 72 countries. Out of this number, highest takaful operators are in Nigeria, working hard to deepen insurance penetration across the country.”

Adeola said non interest finance is a positive force that is spreading across the globe, empowering people, enabling communities, and building the cities.

Highpoint of the event was the presentation of cheques to the beneficiaries including Sterling Bank, Jaiz Bank Plc, Citiserve Limited, Crescent Schools, Inverness Wealth Management, Ansaredeen Society, Petaloid Express Techniques, Vanguard Pharmaceuticals, Lotus Capital, Taj Bank, Federal Polytechnic, Ilaro, and Wasiu Adegbite Adeyemi.

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