The Future Cannot Wait: Start Living Sustainably Now with Takaful!

Our previous article explored the meaning of sustainability and how we can practice it as governments, businesses, and individuals. We also discussed the link between sustainability and Islam, and how it is our obligation as Muslims to protect our planet and live sustainably, because how we treat the environment and others around us are true reflections of our faith.

We also briefly talked about takaful and how it can be a sustainable option for your protection and investment needs. Let’s expand on that topic here.

Takaful: your sustainable protection choice

The thing about sustainability is that it is not a concept for one’s own personal gain. In fact, sustainability is about ensuring everyone benefits without the detriment of others, or to put it simply: we only win if everyone wins.

This is takaful at its core. Based on the principles of mutual assistance (ta’awun), Tabarru` deductions from all contributions are pooled into a fund collectively owned by all participants. This fund is used to pay any claims made (based on the agreed benefits of the plan) on the basis of mutual aid and assistance, meaning, your regular contributions will directly support someone in their time of need.

By participating in takaful, all participants will be providing mutual financial benefits to all eligible participants (or their beneficiaries) in their time of need, with no singular party benefitting more than the other – a classic example of sustainability at work.

Sustainability also means preparing for the future

The future is truly unpredictable, whether from a global perspective or that of an individual. An important tenet of sustainability is ensuring that there will be a safe, healthy and well- protected future for generations to come, be it in terms of the environment, resources, and other future needs.

It is important to apply this concept to the personal level too, by preparing and protecting ourselves and our families from potential risk as much as possible. Participating in takaful provides several options for future-proofing our lives, especially from a financial perspective.

Takaful helps you prepare for future uncertainties by providing protection so you and your loved ones can live your lives without being tied down by financial burdens. This buffer ensures financial sustainability and security, enabling continued access to basic necessities such as food, shelter, water, medical treatment, education, and more, despite ongoing challenges.

Sustainable investment with PruBSN Takaful Dana ESG Global

While the concept of takaful is rooted in sustainability, we wanted to take it one step further and cater to the needs of participants who want their takaful investments to go towards supporting sustainable businesses and practices. Takafulink Dana ESG Global was developed to focus on investing in qualified Sustainable and Responsible Investment (SRI) funds.

There has been a continuing shift towards environmentally friendly and socially conscious products and services as Malaysians become more concerned about climate change and its impact to the environment and society. Globally, too, there has been an increase in support for businesses who produce sustainable products and services, or practices sustainability in their operations. According to a survey by Rakuten Insight in 2022, 59% of Malaysians are willing to pay more for sustainable products, meaning, not only is ESG good for the planet, but, potentially, good for our pockets too.

PruBSN's Takafulink Dana ESG Global Fund is one of the first Shariah-compliant Environment, Social and Governance funds in Malaysia, recognising our concern for the future of our planet and humankind while realising the potential for profit in ESG. The Fund invests in businesses or investment schemes that provides positive impact in accordance with the United Nation Sustainable Development Goals, so you can watch your investment grow while knowing your funds will be put towards sustainability efforts.

Investing in PruBSN Takafulink Dana ESG Global Fund is easy – all you need to do is select it as an investment fund option through our wide range of takaful plans, including PruBSN AnugerahPlus, PruBSN Aspirasi, PruBSN Anggun, and PruBSN Impian.

Sustainable takaful for all

Sustainability is an important value at PruBSN, and one of the ways we uphold this value is by ensuring we can provide takaful protection to as many people as possible, including those in the low income group. The incorporation of community development and social sustainability values in our products, and our efforts to encourage takaful for all, have led to PruBSN receiving local and international recognition including the Marketing Excellence Award 2023 for Public Sector/Non-Profit Marketing, as well as the ASEAN Outstanding Social Welfare and Development Award.

Our community-driven products include:

• Ihsan Rider gives PruBSN contributors the opportunity to do a little charity with their monthly donations starting from RM5 a month through PruBSN AnugerahPlus, PruBSN WarisanGold, PruBSN Aspirasi or PruBSN Anggun. These funds will be channelled towards PruBSN Prihatin, which provides the breadwinners of low- income households up to 1 year of takaful protection amounting to RM10,000 at no cost through PruBSN Microtakaful Jariyah initiatives.

• Accessible and affordable protection through PruBSN Lindung Family, which starts at RM13.80 a year, and PruBSN Cegah Family, with starts at RM16.30 a year via i-Lindung for KWSP members.

• Charity Option gives you the opportunity to help the community by channeling a portion of your death benefits towards the less fortunate either as a sadaqah to PruBSN Prihatin or as a waqaf to Yayasan Wakaf Malaysia. This facility is currently available through PruBSN WarisanGold.

PruBSN also promotes long term sustainability by:

1. Simple & Accessible Health and Financial Protection: Empowering communities by making health and financial literacy accessible, especially among Malaysian youth and vulnerable communities.

2. Responsible Investment: Practicing good self-governance and best conduct internally by supporting responsible investments, transitioning to digitization, and preserving natural resources, including smart sourcing and smart building management.

3. Sustainable Business: Embracing growth and building social capital, promoting knowledge culture, and adopting global best practices in our decision making, including when we serve our customers, and for internal operational activities.

These sustainability values are important to what we do and how we do it. If you would like to get the most out of your contribution as you work towards leading a more conscious and sustainable life for yourself, your loved ones, the community, and our planet, consider PruBSN. Our takaful offerings and social efforts can help you start practicing sustainability in an affordable yet impactful way. Furthermore, we will continue looking for ways to include more sustainable efforts into our products and day-to-day operations.