RAM Ratings: Takaful industry’s strong capitalisation sufficient to withstand headwinds | Malay Mail

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KUALA LUMPUR, April 23 — RAM Ratings Services Bhd has maintained its “stable” outlook on the Malaysian takaful industry for 2020 despite the economic slowdown, aggravated by the Covid-19 pandemic. Its Financial Institution Ratings co-head Sophia Lee said the industry’s strong capitalisation...

Thursday, 23 Apr 2020 06:57 PM MYT

Its Financial Institution Ratings co-head Sophia Lee said the industry’s strong capitalisation is sufficient to withstand headwinds, and while the economic impact of the health crisis is viewed as severe, it is seen as temporary and would gradually recover by year-end. In 2019, the family takaful’s new business contributions grew 25 per cent to RM6.2 billion, an additional 13 per cent from 2018, mainly driven by the MySalam initiative — the national health protection scheme.

“Family takaful’s profit more than doubled to RM3.8 billion in 2019, supported by improved contributions and a better investment performance.

 

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