---
title: "What is General takaful? | IslamicOpenFinance™"
description: "Takaful covering property and liability risks, such as motor, fire or travel, typically written for one year."
url: https://islamicopenfinance.com/glossary/general-takaful/
lang: en-GB
source: "IslamicOpenFinance"
---

[Glossary](https://islamicopenfinance.com/glossary/) / [Takaful](https://islamicopenfinance.com/glossary/#takaful)

Takaful

# General takaful

Takaful covering property and liability risks, such as motor, fire or travel, typically written for one year.

General takaful covers risks to property and liabilities rather than to people's lives, for example motor, fire, marine or travel cover. Participants donate contributions to a participants' risk fund from which claims are paid, and the takaful operator manages the fund for a fee. The IFSB's solvency standard notes that most general takaful contracts are written for only one year, and says that a takaful fund should not mix family and general business unless the family business is short-term risk protection only.

## Sources

- [IFSB-28 Revised Solvency Requirements for Takaful/Retakaful Undertakings, 2022: general takaful contract terms and separation of family and general funds](https://www.ifsb.org/wp-content/uploads/2023/10/IFSB-28_En.pdf)

This entry explains a term; it is not a Shariah ruling. Approving a product is for each institution's own Shariah board and regulator.

## Related terms

[**Takaful** Mutual cover: participants contribute to a common fund, as donations, to help one another against specified losses.](https://islamicopenfinance.com/glossary/takaful/) [**Family takaful** Takaful covering risks to people, such as death, disability or illness, often with a savings or investment element.](https://islamicopenfinance.com/glossary/family-takaful/) [**Participants' risk fund** The pool of donated contributions from which takaful claims are paid, owned collectively by participants and managed by the operator.](https://islamicopenfinance.com/glossary/participants-risk-fund/) [**Retakaful** Takaful for takaful funds: a takaful undertaking cedes part of its risks to a retakaful fund on behalf of its participants.](https://islamicopenfinance.com/glossary/retakaful/) [**Underwriting surplus** What remains in the participants' risk fund after claims, expenses and reserves, plus attributed investment returns.](https://islamicopenfinance.com/glossary/underwriting-surplus/)

**Takaful**

1. [Takaful](https://islamicopenfinance.com/glossary/takaful/)
2. [Tabarru](https://islamicopenfinance.com/glossary/tabarru/)
3. [Participants' risk fund](https://islamicopenfinance.com/glossary/participants-risk-fund/)
4. [Participants' investment fund](https://islamicopenfinance.com/glossary/participants-investment-fund/)
5. [Shareholders' fund (takaful)](https://islamicopenfinance.com/glossary/shareholders-fund/)
6. [Takaful operator](https://islamicopenfinance.com/glossary/takaful-operator/)
7. [Wakalah model (takaful)](https://islamicopenfinance.com/glossary/wakalah-model/)
8. [Takaful participant](https://islamicopenfinance.com/glossary/takaful-participant/)

[All 221 terms](https://islamicopenfinance.com/glossary/)