Bank Nizwa has partnered with Takaful Oman Insurance to provide Sharia-compliant car insurance to its customers across Oman.
The Takaful model provides a strategy of risk mitigation on account of collective risk taking that distributes risks and losses to a large number of participants.
The users, who purchase this latest car insurance product, their premiums are kept into a Takaful Fund account which is then invested in Sharia-compliant investments.
All or part of the contribution paid by the participant is a donation to the Takaful Fund that offers protection against potential risks to help other participants.
Bank Nizwa CEO Khalid Al Kayed said: “We are delighted to further boost our relationship with Takaful Oman Insurance with this offering.
“We remain strongly rooted to Islamic principles, while constantly innovating and moving forward with tailored solutions for our customers. We are planning to offer Sharia-compliant insurance in other areas at a later date.”
Takaful Oman Insurance managing director and CEO Sayyida Rawan Ahmed Al Said stated: “Being the first fully-fledged takaful company in Oman, we are excited to join hands with Bank Nizwa, the first Islamic bank in Oman, to offer different customised Sharia-compliant takaful products by phase, adding value to the customers in a highly competitive manner.”
Earlier, Bank Nizwa partnered with Oman Takaful on the Islamic Finance Knowledge Program to make people aware about the benefits of the Sharia-compliant products and services.