DETERMINATION OF TAKAFUL UNIT LINK CONTRIBUTION USING THE BLACK SCHOLES MODEL
Indonesia is a predominantly Muslim country. Therefore, insurance companies offer products that comply with Islamic principles. One such product is Islamic insurance, also known as takaful. Takaful aims to protect the insured from various future risks. It offers unit-linked products that provide...
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| Format: | Theses |
| Language: | Indonesia |
| Online Access: | https://digilib.itb.ac.id/gdl/view/80792 |
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| Institution: | Institut Teknologi Bandung |
| Language: | Indonesia |
| Summary: | Indonesia is a predominantly Muslim country. Therefore, insurance companies
offer products that comply with Islamic principles. One such product is Islamic
insurance, also known as takaful. Takaful aims to protect the insured from various
future risks. It offers unit-linked products that provide dual benefits by helping
customers invest while also providing risk protection. Calculation of unit link
takaful contribution involves the elements of tabarru, ujrah, and investment fund.
The investment risk analysis processes the closing price of Bank Syariah Indonesia
shares in 2023. The Black Scholes model is used in determining unit link takaful
contribution and ujrah because it has assumptions that are in line with Sharia
principles. These assumptions include using risk-free interest rates and constant
volatility. Therefore, the new takaful contribution construction is more compliant
with Islamic principles and more beneficial than before. Unit-linked takaful
products that use the Black Scholes model offer flexible proportion values. These
proportions can be adjusted based on the age and gender of the insured, unlike the
constant proportions typically used by other companies. Contributions paid by
policyholders for takaful vary from Rp1,210,301 to Rp1,931,763. The average
proportion of tabarru to takaful contributions is 12% for males and 9% for females.
The average proportion of investment funds to takaful contributions is 70% for
males and 74% for females. When tabarru and investment funds are combined, the
average proportion is 82% for males and 83% for females. The average proportion
of ujrah to takaful contributions is 14% for males and 15% for females. Based on
the proportion values of takaful contribution components, this product can be used
by companies in Indonesia because it aligns with the policies of the Financial
Services Authority (Otoritas Jasa Keuangan [OJK]) |
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