1. What is ‘Takaful’?
The term ‘Takaful’ refers to a scheme based on brotherhood, solidarity and mutual assistance which provides for mutual financial aid and assistance to the participants in case of need whereby the participants mutually agree to contribute for that purpose. Each participant agrees to contribute on the basis of Tabarru’ (donation) which is pooled together to provide benefits in the event of misfortune suffered by any of its participants.
2. Can you tell me more about the funds under HLM Takaful Legacy?
There is only one fund under this product, namely the Participants’ Risk Fund (PRF). The contribution paid after deducting the Wakalah Fee will flow into the PRF as Tabarru’ to provide for the Takaful benefits under this product. All Takaful benefits i.e. Death Benefit, TPD and Maturity Benefit (if any) are payable from the PRF. Any surplus from the PRF will be distributed in a ratio of 50:50 between the Takaful operator (based on Ju’alah principle) and the eligible participants.
3. Is there an option to get covered via a hassle-free submission?
Yes, on a campaign basis, we will be offering a hassle-free submission which will be announced from time to time under the product HLM Takaful Legacy Plus. No health questions will be asked but you need to declare that the Person Covered:
• Is mentally alert and capable of answering questions during the interview (only applicable for age 5 and above); and
• Is currently not admitted to Intensive Care Unit (ICU), Critical Care Unit (CCU), High Dependency Unit (HDU), or bedridden; and
• Is not currently suffering from Total and Permanent Disability.
4. Are there riders attached to HLM Takaful Legacy?
There are no riders attachable to HLM Takaful Legacy.
5. How long should I pay the contribution and options of payment mode available under HLM Takaful Legacy?
It depends on the contribution term that you have chosen, i.e. 2 years, 5 years, 8 years or 10 years term. Contributions are payable according to your selected payment mode: annually, half-yearly, quarterly and monthly.
Please refer to the Product Disclosure Sheet (PDS) and Benefit Illustration (BI) for the contribution amount. You can also refer to the bank personnel for more information.
6. What are the reasons for benefits to be not paid under HLM Takaful Legacy?
a. The Death Benefit is not payable for death resulting directly or indirectly from suicide within twelve (12) months from the commencement date of the certificate.
b. The Total & Permanent Disability (TPD) Benefit is not payable in respect of any condition/injury/event which is directly or indirectly caused by self-inflicted injury while sane or insane, under the influence of any alcohol, narcotics or drugs, private aviation activities, military service, war, acts of terrorism and criminal, dangerous sports and activities and the like.
Note: This list is non-exhaustive. Please refer to the Takaful certificate for the full list of exclusions.
7. What happens if I terminate my certificate early?
You may surrender your certificate by returning the certificate to Hong Leong MSIG Takaful Berhad with a written notice signed by you. The cash surrender value from the PRF
(if any) less surrender charge will be payable. You will lose the benefits under your certificate and the amount payable to you may be less than the total contributions that you have paid.
8. Is the contribution paid for HLM Takaful Legacy eligible for income tax relief?
Yes. You may qualify for a personal tax relief for the contributions paid under “Life Insurance/Takaful” up to RM3,000, subject to the final decision of the Inland Revenue Board of Malaysia.
HLM Takaful Legacy Plus is similar to HLM Takaful Legacy except that in the event of Death or TPD caused by other than Accident in the 1st and 2nd certificate year, the benefit payable shall be limited to the total contributions paid. The HLM Takaful Legacy Plus is only offered during campaign period.