Pru Life UK may launch Shariah-compliant Takaful in April

Pru Life UK may introduce its Takaful insurance offering in April if it receives regulatory approval from the Insurance Commission, with executives confirming plans to launch the Shariah-compliant product next month.

Sanjay Chakrabarty, the president and CEO of Pru Life UK, emphasized that the company is close to launching this alternative to commercial insurance but declined to specify a date due to pending approvals.

Takaful operates on a mutual support principle where members contribute to a fund for their insurance needs, ensuring compliance with Islamic law. The firm aims to offer micro-Takaful and Shariah-compliant endowments upon launch.

With only three banks offering Shariah-compliant services and two firms licensed for Takaful insurance in the Philippines, there is significant potential for growth in this underserved market.

Pru Life UK achieved a 12% increase in total premium income and an 82.5% customer retention rate in 2024, attributing its success to understanding customers' needs.

The company aims for double-digit growth in the Philippine market in 2025, building on its strong performance from the previous year with over 200 branches and general agencies.