(a) Tabarru’ means donation from the portion of the contribution that will be allocated to the Participants' Risk Fund (PRF), which will be used for mutual aid and assistance among the fellow participants.
(b) Iltizam Bi Al-Tabarru’ means the commitment to make Tabarru'.
(c) Wakalah means essentially an agent-principal relationship, where the Takaful Operator act as an agent on behalf of the participants to manage the PRF and Participant’s Investment Account (PIA)” and the Takaful Operator earns Wakalah Fee for services rendered.
(d) Wakalah Bi Al-Istithmar means agency contract for investment whereby the Takaful Operator acts as an agent (wakil) to the participants to invest their contribution accordingly. The Takaful Operator will not be entitled to any profit or bear any loss. However, the Takaful Operator are entitled to be remunerated based on the fixed percentages of Account Value, as per the rates set out as Fund Management Charge(s) shown in the Schedule, for managing the fund(s).
(e) Ju’alah means an agreement in which the participant agrees to reward the Takaful Operator for its achievement or good performance in managing the PRF that leads to Surplus of the fund.