AIA talks up takaful prospects in Malaysia

Marking AIA Group’s first
entry into Malaysia’s Islamic, Sharia law-compliant
takaful market, its Malaysian unit has formed a joint
venture with Alliance Bank Malaysia.

“AIA is set to become a major
player in the important and fast-growing takaful market in
Malaysia,” predicted AIA group chief executive and president Mark
Tucker, a former CEO of UK life insurer Prudential.

Products to be initially
offered by the new venture, AIA AFG Takaful, will focus on
protection, education, savings and investment and will be
distributed by AIA’s agency force and through 90 Alliance Bank
branches.

According to Alliance Bank,
Malaysia is the second largest takaful market in the world
after Saudi Arabia and has been growing at an average of 40%
annually.

AIA, a 67%-owned unit of American International Group, has
been operating in Malaysia since 1948.

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