This plan applies the wakalah (agency) concept, where all Certificate Holders appoint AmMetLife Takaful as a wakeel (agent) to act on their behalf to invest and manage the Participant Investment Fund (“PIF”) and Participants Risk Fund (“PRF”). AmMetLife Takaful is entitled to a wakalah fee for managing and investing the funds.
This plan applies the tabarru’ concept, where all certificate holders agree to donate a specified portion from the PIF into the PRF for the purpose of mutual aid and assistance to all certificate holders in times of misfortune.
This is an interest-free loan from AmMetLife Takaful in the event that the PRF is in deficit. The loan will be paid from the future surplus arising from the PRF.
Participants Investment Fund
PIF is your savings fund. It is made up of your net contribution (after deducting the wakalah fee),investment profit of PIF and any related surplus distribution from the PRF. Upon maturity or the surrender of your policy, you will receive the whole amount that is in your PIF.
Participants Risk Fund
PRF is made up from a portion of your contributions to the tabarru’. It assists you and fellow participants in need, entitling you to certain benefits – i.e. we will pay your death/Total Permanent Disability (“TPD”) or funeral benefit from this fund.
The wakalah fee is the percentage of the contribution amount that is mainly used to cover commissions and management expenses, which incur in the management of the takaful funds. Please refer to the table below for the complete wakalah fee structure of ProtectCare-i Prime.
Year 20 years and above
7 and above 10%
This is the net of contribution after the deduction of the wakalah fee and will be allocated into the PIF. The tabarru’ amount is deducted monthly from your PIF and allocated into the PRF. The tabarru’ amount increases as you grow older.
Monthly Service Fee
A monthly service fee of RM5.00 plus RM0.30 Goods and Services Tax (“GST”) will be deducted from the value of your PIF.