Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital
The insurance industry plays an important role in the world, especially in well-developed countries. This industry is considered crucial because it functions to protect people and business operations from any risks. Takaful, which has been growing in popularity in the insurance sector, must maintain...
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uketd_dc |
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Universiti Sains Islam Malaysia |
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USIM Institutional Repository |
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en_US |
| topic |
Insurance--Malaysia Insurance--Malaysia |
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Insurance--Malaysia Insurance--Malaysia Nur Amalina Syafiqa Binti Kamaruddin Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| description |
The insurance industry plays an important role in the world, especially in well-developed countries. This industry is considered crucial because it functions to protect people and business operations from any risks. Takaful, which has been growing in popularity in the insurance sector, must maintain good market growth. Thus, this study aims to assess the financial performance of takaful operators through claim ratio, risk-based capital (RBC), and intellectual capital towards two profitability ratios, which are return on asset (ROA) and return on equity (ROE). This study was conducted using a panel data set of 15 listed takaful operators in Malaysia over the period 2015-2019; meanwhile, the secondary data was taken from the operators’ audited financial statements. The results were obtained by computing the claim ratio, the minimum capital level required in RBC, the value-added intellectual capital (VAIC) score, and percentages of ROA and ROE level of each takaful operator. A panel data regression model and Pearson correlation were used to determine the effects as well as the relationships that claim ratio, RBC, and VAIC have towards the profitability of takaful operators. The result of the claim ratio showed that family takaful fund has a higher claim ratio, which indicated low profit compared to general takaful fund. The RBC result also supported general takaful better than most family takaful by fulfilling the supervisory target capital level of 130% as required by Bank Negara Malaysia (BNM). As for the VAIC score, most of the takaful operators showed positive VAIC scores, which implies they are able to fully utilize the companies’ resources that lead to an outstanding management leader stewardship. Both average levels of ROA and ROE showed positive results, indicating most family and general takaful operators are able to efficiently generate good profits using their resources’ level. The implications of this study can help the public obtain a clearer picture of the Malaysian takaful market and further assist the takaful operators towards better improvement in assessing their future performance by applying the intellectual capital method. |
| format |
Thesis |
| author |
Nur Amalina Syafiqa Binti Kamaruddin |
| author_facet |
Nur Amalina Syafiqa Binti Kamaruddin |
| author_sort |
Nur Amalina Syafiqa Binti Kamaruddin |
| title |
Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| title_short |
Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| title_full |
Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| title_fullStr |
Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| title_full_unstemmed |
Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital |
| title_sort |
analysis on financial performance of takaful operators in malaysia through claim ratio, risk-based capital and intellectual capital |
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Universiti Sains Islam Malaysia |
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https://oarep.usim.edu.my/bitstreams/01e98817-3818-4945-a92e-bcdbb849636b/download https://oarep.usim.edu.my/bitstreams/c5d5cd0e-692e-4e49-949b-21408849d4a8/download https://oarep.usim.edu.my/bitstreams/9e2e90ab-126c-47cc-88a6-496d1e3ca4e1/download https://oarep.usim.edu.my/bitstreams/9dd5fa25-b343-464e-9ed0-019a01cac9ca/download https://oarep.usim.edu.my/bitstreams/450e2444-9016-4ba5-9b86-1d78cabe296d/download https://oarep.usim.edu.my/bitstreams/ebc6fa06-3f0c-48e9-9e09-3a5ac16072fd/download https://oarep.usim.edu.my/bitstreams/6823c4d6-08e8-4976-b37b-08fcc5571984/download https://oarep.usim.edu.my/bitstreams/180290f5-1f5b-4c58-9189-0c98a35f1056/download https://oarep.usim.edu.my/bitstreams/007cd5ca-b5f9-40d7-bf63-2d892221dbc6/download |
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my-usim-ddms-125032024-05-29T19:41:12Z Analysis On Financial Performance Of Takaful Operators In Malaysia Through Claim Ratio, Risk-Based Capital And Intellectual Capital Nur Amalina Syafiqa Binti Kamaruddin The insurance industry plays an important role in the world, especially in well-developed countries. This industry is considered crucial because it functions to protect people and business operations from any risks. Takaful, which has been growing in popularity in the insurance sector, must maintain good market growth. Thus, this study aims to assess the financial performance of takaful operators through claim ratio, risk-based capital (RBC), and intellectual capital towards two profitability ratios, which are return on asset (ROA) and return on equity (ROE). This study was conducted using a panel data set of 15 listed takaful operators in Malaysia over the period 2015-2019; meanwhile, the secondary data was taken from the operators’ audited financial statements. The results were obtained by computing the claim ratio, the minimum capital level required in RBC, the value-added intellectual capital (VAIC) score, and percentages of ROA and ROE level of each takaful operator. A panel data regression model and Pearson correlation were used to determine the effects as well as the relationships that claim ratio, RBC, and VAIC have towards the profitability of takaful operators. The result of the claim ratio showed that family takaful fund has a higher claim ratio, which indicated low profit compared to general takaful fund. The RBC result also supported general takaful better than most family takaful by fulfilling the supervisory target capital level of 130% as required by Bank Negara Malaysia (BNM). As for the VAIC score, most of the takaful operators showed positive VAIC scores, which implies they are able to fully utilize the companies’ resources that lead to an outstanding management leader stewardship. Both average levels of ROA and ROE showed positive results, indicating most family and general takaful operators are able to efficiently generate good profits using their resources’ level. The implications of this study can help the public obtain a clearer picture of the Malaysian takaful market and further assist the takaful operators towards better improvement in assessing their future performance by applying the intellectual capital method. Universiti Sains Islam Malaysia 2021-09 Thesis en_US https://oarep.usim.edu.my/handle/123456789/12503 https://oarep.usim.edu.my/bitstreams/324b44f7-e906-4832-9bec-d0c3f6a827c7/download 8a4605be74aa9ea9d79846c1fba20a33 https://oarep.usim.edu.my/bitstreams/01e98817-3818-4945-a92e-bcdbb849636b/download 06b6a075a6dbd57439627fd0b8720822 https://oarep.usim.edu.my/bitstreams/c5d5cd0e-692e-4e49-949b-21408849d4a8/download 6bf60d1c1576d6f4ccdb50d4b8a8dcbc https://oarep.usim.edu.my/bitstreams/9e2e90ab-126c-47cc-88a6-496d1e3ca4e1/download f83d742c13cfb945f61b5e0c976a88e0 https://oarep.usim.edu.my/bitstreams/9dd5fa25-b343-464e-9ed0-019a01cac9ca/download 8390e7cb45ccf3ebd7837e6cf20af6f2 https://oarep.usim.edu.my/bitstreams/450e2444-9016-4ba5-9b86-1d78cabe296d/download 41c462c98a88aa068777b639686f7ee7 https://oarep.usim.edu.my/bitstreams/ebc6fa06-3f0c-48e9-9e09-3a5ac16072fd/download bbcbe40d043cb00528bb170760f58276 https://oarep.usim.edu.my/bitstreams/6823c4d6-08e8-4976-b37b-08fcc5571984/download 2e9123dff0629ab596c6a94ee0ac0137 https://oarep.usim.edu.my/bitstreams/180290f5-1f5b-4c58-9189-0c98a35f1056/download bb3dc5f83f1507566ad7641b723ce0c5 https://oarep.usim.edu.my/bitstreams/007cd5ca-b5f9-40d7-bf63-2d892221dbc6/download f07f38ec9cc52edca2220a16ac1ccf82 https://oarep.usim.edu.my/bitstreams/5c379f4d-5a75-44fb-8ff5-8c4ee1a81787/download 926ecad14bfc6e8feed2ca0fd16c614b https://oarep.usim.edu.my/bitstreams/e19a8433-883f-4f3c-9f89-1425d39360a8/download 42b3ed2c16b03cfdcaf6bd090a915a06 https://oarep.usim.edu.my/bitstreams/dd398c82-20ac-4c92-a635-dd3903a6d3b6/download 1d434cd354b1f1a9ee55acab235627eb https://oarep.usim.edu.my/bitstreams/5985a314-b0a6-4094-addd-5cafecb222c5/download 8e3ca32f652cc9f71dbfaa0fc691dcc2 https://oarep.usim.edu.my/bitstreams/8ce1f72c-60d2-402b-92a2-5536b05158c8/download 2c7c72372af4e452f3ecb1c0f2ee6f07 https://oarep.usim.edu.my/bitstreams/dbcf0bf2-242e-4abf-976d-0dd5b8ed8faf/download 3f8015ce27c1d0bfae0ca60003253339 https://oarep.usim.edu.my/bitstreams/c22ddbc3-32e9-44fe-a1b8-e9a1f07f01c7/download fda133c2be41c7f20c2c8bcf87ab218b https://oarep.usim.edu.my/bitstreams/0ce04610-b79e-4874-81f9-637f392702bb/download 2b9dfeef245ff3acbc646627a3aefa8b https://oarep.usim.edu.my/bitstreams/95edb401-624a-4e24-bad0-541cb5218a4b/download 5df875f46400acec334e1122b644a0fa Insurance--Malaysia Takaful, Claim Ratio, Risk-Based Capital, Intellectual Capital, Value Added Intellectual Capital, Return on Assets, Return on Equity |