Takaful Tips:
Upsides when Investing in Takaful
Investment opportunities are in abundance all over the globe. Whether you trade on the stock market, buy shares in a friend’s business or purchase a piece of property to rent or sell, there are several potential avenues for you to put your money to work.
The main and most basic reason why people invest is to let their money make more money. And, it would not be incorrect to say that most investments come with some risk. In fact, the general rule of thumb is, the higher the potential for return, the riskier your investment is. Yes, the possibility for earning a lot is there, but so is the potential for losing it all. But before you write-off investing altogether though, there are many other ways to invest your hard-earned money without putting your finances at too much risk.
Investment made safer and affordable
Most people do not have access to thousands or hundreds of thousands of Ringgit to make large investments. This may be a good thing as you are then less likely to put your money towards risky ventures. But instead of leaving your income under your mattress or in a bank with low or no-returns, one way to invest more safely, soundly and affordably is by subscribing to investment-related Takaful plans. Not only can you get returns from small, monthly contributions, you will also have access to protection alongside financial security for you and your loved ones.
How investing in Takaful works
Investing in investment-linked Takaful plans is simple and does not require large sums of money to start. Whether you choose to contribute monthly, quarterly or annually, your contribution will be divided into three figures: 1) the amount that goes into the Tabarru` fund, 2) Wakalah charges or Takaful operator fees, and 3) the remaining balance, which will be invested in shariah-approved investment linked funds of your own selection.
Your contribution to the Tabarru` fund cannot be withdrawn, as this is where all benefits and claims will be paid out from, including claims for hospital bills and your hibah. Your investments, however, can be withdrawn once certain conditions are met. These conditions include minimum withdrawal amounts and balance maintained in your investment account, which varies based on the investment-linked fund you have chosen. Of course, leaving your funds in the investment account for longer periods will always generate more cash.
PruBSN has seven types of shariah-compliant investment linked funds under our helm, each with varying degrees of risk and returns, available with our Takaful certificates. You will continue to stay protected and receive benefits from your Takaful plan regardless of your investment performance.
Here are the main features of our Takaful investment-linked plans to help you decide which is best for you.
Stay protected with PruBSN Setia, our most comprehensive planIf you’re the kind of person who wants to get the most out of your Takaful certificate, then PruBSN Setia is perfect for you. Not only is it an investment-linked plan, PruBSN Setia also includes death and total permanent disability benefits; medical and hospitalisation reimbursement; coverage on critical illnesses, accidents, accidental medical; and accidental income protection. PruBSN Setia also comes with the option to include additional riders for an even more comprehensive plan customized to your needs and requirements, as well as an expiry date of up to 100 years old!
With a minimum contribution of only RM100 a month, the potential returns you can earn via Takaful Saver can easily help you build your savings towards your future retirement.
Safeguard your child’s future with PruBSN Impian
Designed to help you take care of your child’s current and future needs, PruBSN Impian is a special plan for your child aged anywhere from 14 gestational weeks to 25 years old. Not only does it cover medical expenses for child-specific illnesses as well as other treatments required due to illnesses and injuries, PruBSN Impian also protects mother and child through its Pregnancy Care benefits.
Available at affordable and flexible contribution rates, PruBSN Impian includes Takaful Saver Impian rider, which helps you save and invest in your child’s future financial needs. Your savings and investment can be withdrawn and gifted to your child when they are 19 years old. Additionally, PruBSN Impian comes with EduAchieve Bonus, which rewards your child with cash bonuses for their academic excellence in national-level examinations during primary and secondary school, as well as Diploma or Degree level achievements in local public universities, as long as they are under 18 years of age – a great way to motivate them to excel in their studies.
Give your family peace of mind with PruBSN WarisanPlus
PruBSN WarisanPlus is a Takaful plan designed with the intention of providing security and protecting your legacy for your loved ones. Alongside medical coverage for unique diseases and the option to include additional riders for customizable coverage that fits your needs, PruBSN WarisanPlus high coverage of RM250,000 minimum will be a significant help to your family in the event of your death or if you suffer from total and permanent disability. The plan also includes aid for funeral expenses, and your loved ones will have full rights to your Takaful benefits without having to go through complicated inheritance procedures.
Requiring a minimum monthly contribution of only RM100 for adults and RM50 for children below 18 years of age, PruBSN WarisanPlus is an incredibly affordable plan. Besides building your savings through Takaful Saver or Takaful Saver Kid, you can also choose to grow your money through seven types of investment-linked funds, each one with a different level of risk to help you increase your cash value with potential returns.
Interested in making your money do more? Start investing with PruBSN today. Contact us for more information.