MANAMA: Bahrain's leading Islamic insurance company t'azur yesterday launched what it believes is the world's first Sharia-compliant charitable insurance product.
The Sadaqah product helps people willing to give to charities through regular donations which the company invests in Sharia-compliant funds over a set number of years, after which the accumulated capital is then passed to the charity of the donor's choice.
In the event of certain unforeseen circumstances, which prevent the donor from making charitable donations such as personal problems like disability or critical illness, t'azur will continue making the regular donations on behalf of the donor through an insurance contract, thus guaranteeing that the charity receives the intended donation in any event.
"We are very proud to introduce the Sadaqah charitable savings plan in the Holy Month of Ramadan. It is perhaps our most important family takaful product launched to date," said t'azur chairman Shaikh Dr Abdulaziz bin Naif Al Orayer.
"This plan embodies the essence of takaful, namely mutual help and assistance for the common good, and demonstrates our commitment to charities and all communities in Bahrain."
"The Sadaqah plan is to our knowledge the world's first insured charitable savings plan," said chief executive officer Nikolaus Frei.
"This innovation shows again that Bahrain is the leading financial services hub in the Middle East."
The Sadaqah product is available through various charities in Bahrain or directly from t'azur.