Hajiya Zainab Abdurrahman, Chairperson of Jaiz Takaful Insurance Ltd, emphasized the critical role of embracing digital transformation and technological advancements to accelerate business expansion and bolster Nigeria’s economic development.
During the 2023 Surplus Sharing Ceremony held recently in Abuja, Abdurrahman highlighted the company’s ongoing commitment to refining its business models and operational frameworks through deeper adoption of digital tools.
“Our strategy centers on a digital-first approach, enhancing stakeholder engagement via electronic platforms and streamlining the customer experience throughout their purchasing journey. We aim to make our services more digitally oriented and customer-focused,” she explained.
This event marked the fourth annual gathering since Jaiz Takaful’s inception in 2017. Abdurrahman expressed appreciation to all stakeholders, underscoring the occasion as a valuable platform for reinforcing collaborations, sharing insights, and identifying new avenues for growth.
Looking back at the company’s trajectory, she recalled that during the 2022 Surplus Sharing Event, Jaiz Takaful pledged to expand its footprint in key market segments by capitalizing on its strengths in both family and general Takaful operations.
For 2023, the firm announced a surplus distribution of ₦8.009 million, a notable decline from the ₦230.806 million shared in 2022, reflecting a reduction of nearly 48.9%.
“We recognize that this downturn might cause concern among our partners, and we want to offer clarity on the factors involved,” Abdurrahman remarked.
She attributed the decrease to the intense competition within Nigeria’s Takaful sector, coupled with broader economic pressures such as rising inflation and currency volatility, which adversely affected investment yields and overall financial outcomes.
“A significant factor was the unusually high volume of Family Takaful claims settled in 2023, which substantially drained the Risk Fund, leading to no surplus being declared for the Family Takaful segment,” she added.
Despite these hurdles, Abdurrahman reaffirmed Jaiz Takaful’s dedication to its core mission of providing Shariah-compliant insurance products, while persistently working to boost operational effectiveness, enhance investment performance, and enrich the value offered to policyholders.
“Our vision remains focused on achieving sustainable growth and delivering enduring value to all our stakeholders,” she affirmed.
She also elaborated on the fundamental advantages of the Takaful framework, stating: “Takaful promotes mutual cooperation and collective responsibility among participants. It is an inclusive system that benefits everyone involved, irrespective of their background or beliefs.
“The surplus sharing mechanism, governed by Shariah law, guarantees a fair allocation of underwriting profits and investment returns between the operator and participants at the conclusion of each policy term.”
