Takaful Industry Sees Record Growth in 2024, Strengthening Financial Protection for Malaysians
Malaysia’s takaful industry achieved strong growth in 2024, reinforcing its commitment to financial protection, social outreach, and shared prosperity under the Hijrah27 transformation agenda.
A record RM10.20 billion in benefits was disbursed—a 16.73% increase from 2023—reflecting takaful’s core spirit of supporting Malaysians in times of need. Family Takaful made up RM7.89 billion (77.37%) of total benefits, while General Takaful accounted for RM2.31 billion.
The number of in-force Family Takaful certificates rose to 6.69 million, bolstered by 993,393 new issuances. This led to a 1.48% increase in new business contributions (RM9.73 billion), while in-force contributions grew 7.20% to RM9.62 billion.
Over a three-year period (2022–2024), average annual benefit payouts rose by RM1.54 billion—nearly 400% more than the RM393.34 million average between 2019–2021. The average number of in-force certificates increased to 6.64 million, while average annual new business contributions reached RM9.79 billion, up from RM7.08 billion.
This reflects rising public awareness and appreciation of takaful as a social safety net. The number of active Family Takaful agents reached 92,866, with 26,714 new agents joining in 2024. Agent-driven new business rose to 25.56% (2023: 23.17%), while bancatakaful grew to 52.05% (2023: 48.68%).
The Family Takaful penetration rate remained stable at 19.57% despite population growth to 34.1 million, with new certificates issued outpacing population increase—highlighting the industry’s continued inclusive growth.
The General Takaful segment also grew, with gross written contributions rising 8.46% to RM5.91 billion. Motor takaful remained dominant, contributing 68.77%, in line with record-high vehicle sales (816,747 units). Motor claims accounted for RM2.04 billion or 88.30% of General Takaful claims.
In non-motor takaful, fire coverage rose 7.27% to RM1.00 billion, while personal accident takaful moderated to RM388.00 million. Agencies led distribution at 62.67%, with bancatakaful growing to 13.63%. Internet sales rose to 6.58% (2023: 5.79%), driven by Hijrah27’s digital focus.
Malaysian Takaful Association (MTA) Interim Chairman Wan Saifulrizal Wan Ismail reaffirmed the industry’s vision to make takaful more accessible, relevant, and inclusive: “The importance of a safety net cannot be overstated—from Family Takaful for loved ones to General Takaful for property, we urge Malaysians to protect their financial wellbeing.”
Zakat contributions totalled RM31.19 million in the first half of 2024—over 60% of 2023’s full-year total—supporting initiatives aligned with Maqasid al-Shariah to promote broader social and ethical outcomes.
