KUALA LUMPUR, 8 January 2020 – Manulife Insurance Berhad (MIB) has signed a five-year strategic partnership with Takaful Ikhlas Family Berhad (Takaful IKHLAS), and are targeting RM30 million in new business premiums.
“The RM30 million would be in Takaful Ikhlas’s books, but for us, we’ll have the opportunity to give our customers the choice of a takaful option. That is greater (for us) as it is something we cannot offer ourselves,” Chief executive officer (CEO) Lee Sang Hui told reporters after the partnership signing ceremony.
MIB intends to tap on the underpenetrated Takaful market in Malaysia through this partnership. In 2018, the Family Takaful Business penetration rate in the country was up 1.3% to 15.2%.
“In tandem with the country’s aim to increase financial protection and takaful life insurance penetration in Malaysia households, this strategic partnership is timely and has huge potential for growth that will benefit both companies in the long run,” he added.
Manulife’s agency members will benefit from this partnership to market and sell four of Takaful IKHLAS’s life insurance products, namely IKHLAS Preferred Term Takaful, IKHLAS Savings Prime Takaful, IKHLAS Education Plus and IKHLAS Wanita Elegance to the growing segment of Malaysians seeking Shariah-compliant life insurance products.
With the high potential growth and increasing demand for takaful, this strategic partnership is expected to contribute to the growth of both MIB and Takaful IKHLAS.
President and Chief Executive Officer of Takaful IKHLAS, Mohd Din Merican said, “This partnership with MIB is part of our strategy in expanding our agency force and to penetrate new markets.”