Public understanding of Shariah insurance in 2020 has increased, with Islamic insurance in demand by Muslims and non-Muslims alike, according to a survey conducted by Prudential Life Assurance (Prudential Indonesia). Nearly 20% of respondents to the survey were non-Muslims interested in buying Shariah insurance.
Prudential’s government relations and community investment director Ms Nini Sumohandoyo, in a virtual conference with local media organisations, said that public interest in Shariah insurance rose from 40% in 2016 to 58% in 2020.
The survey involved 5,000 respondents who were from middle to upper class households. The survey was conducted on 12 February-6 March 2020 in 20 major cities in Indonesia.
As high as 44% of the respondents who were interested in takaful were millennials. As many as 72.1% of respondents said they could only last less than three months, if a loss occurred such as the loss of a major source of income.
Islamic insurance is in demand by Muslims and non-Muslims. The majority or 81% of those keen on takaful are Muslims. The rest are non-Muslims.
Prudential notes that 75% of customers buy health insurance; 58% choose personal accident insurance; 45% opt for children’s education insurance; 43% choose investment-related insurance and 30% buy insurance for retirement.