Labuan Family Takaful Business
Labuan family takaful business means takaful business relating to family takaful. Family takaful means takaful for the benefit of the individual and his family.
Licensing and Operational Requirements
- Applicant must maintain a minimum paid up capital or working fund with a bank in Labuan amounting to RM7.5 million equivalents in any foreign currency.
- Applicant must be a member of Labuan International Insurance Association.
- Applicant must provide a Letter of guarantee or undertaking from the parent company to Labuan FSA.
- Applicant for licence to carry on family takaful business in Labuan must ensure the following:-
(i) Establish an operational management office in Labuan managed by a management team that has an adequate
knowledge and expertise in insurance business; or
(ii) Appoint a licensed Labuan takaful underwriting manager.
- Appointment of any person in control, director, or Principal Officer (PO) of a Labuan family takaful operator must obtain prior approval from Labuan FSA. Notwithstanding, Labuan family takaful operators that are established as a branch are not required to obtain approval on the appointment of their directors; and
- The person in control, director and PO of a Labuan family takaful operator must be of fit and proper persons and shall not be subject of any adverse report from any reliable sources.