Conceptual differentiation between Takaful and Conventional Insurers

The insurance industry has seen a recent growth in a market segment which prefers products and services that relate to the Islamic Society and the concept of mutual cooperation in abidance with the Islamic Laws. The reason for this growth is the existence of an alternative called as `Islamic’ insurance products provided by the Takaful insurance companies. Ever since the establishment of the concept of Takaful, the Takaful providers have been capturing the market in the Islamic community with this core competency feature in their products. There has been very little academic literature that compares the managerial and conceptual aspects of the conventional and takaful insurers. This book, therefore, compares 5 leading insurance/re-insurance companies in The Kingdom of Bahrain of which 2 are conventional companies, 2 are takaful companies and one practising both types of insurance. The analysis should help us understand how different these companies are and should be especially useful for individuals or organisations who are left with a choice to select either of the above two insurance providers.