Malaysia legislation
Section 2
Section 2
In this Act, unless the context otherwise requires—
"Accountant General" means the Accountant General, Malaysia;
"accounting period", in relation to any takaful operator, means the period for which the operator makes up the accounts of the takaful business carried on by him in Malaysia;
"adjuster" means any person who for compensation, fee, commission or salary investigates and negotiates settlement of claims arising under takaful contracts, solely on behalf of either the takaful operator or the participant;
"broker" means any individual, firm or company who for compensation as an independent contractor, in any manner solicits, negotiates or procures takaful contracts or the renewal or continuance thereof on behalf of the participant other than himself;
"contribution" means takaful instalment payable by participants;
"Co-operative Societies Act" means the Co-operative Societies Act 1948, or the Co-operative Societies Ordinance 1958 of Sabah, or the Co-operative Societies Ordinance of Sarawak, as the case may require;
"Director General" means the Director General of Takaful appointed under section 54;
"family solidarity" means takaful for the benefit of the individual and his family;
"operator" means a company or a society which carries on takaful business;
"participant" includes, where a certificate has been assigned, the assignee for the time being and, where they are entitled as against the takaful operator to the benefit of the certificate, the personal representatives of a deceased participant;
"principal officer" means a person, by whatever designation called, appointed by a takaful operator and charged with the responsibility of managing the affairs of the operator;
"qualified actuary" means a Fellow of the Institute of Actuaries in England, or a Fellow of the Faculty of Actuaries in Scotland, or a Fellow of the Society of Actuaries in America, or such other person as may be prescribed by the Minister;
"regulations" means regulations made by the Minister under this Act;
"re-takaful" means an arrangement consistent with sound takaful principles for re-takaful of liabilities in respect of risks incurred or to be incurred by the takaful operator in the course of his carrying on takaful business;
"re-takaful's deposit" means an amount deposited with or retained by a takaful operator by way of security for the performance by the re-takaful operator of contracts undertaking liabilities incurred by the takaful operator;
"statutory balance-sheet" and "statutory valuation" means respectively a balance-sheet lodged with the Director General in order to comply with subsection (1)
TAKAFUL of section 41, and a valuation of which the results are shown in a valuation balance-sheet lodged with him on an actuarial investigation made in order to comply with subsection (1) of section 42 and—
(a)
any reference to the last statutory balance-sheet or to the last statutory valuation shall be construed as reference to that last prepared or made and not superseded by the arrival of the data as at which another is to be prepared or made; and
(b)
any reference to there being shown in a statutory balance-sheet or on a statutory valuation a surplus of assets over liabilities of a takaful fund shall be construed accordingly by reference to the prescribed form of balance-sheet or valuation balance-sheet and to the rules to be followed under this Act in preparing it;
"the Register" means the register of takaful certificates established by a takaful operator under section 15;
"takaful" means 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;
"takaful benefits" includes any benefit, pecuniary or not which is secured by a takaful certificate, and "pay" and other expressions, where used in relation to takaful benefits, shall be construed accordingly;
"takaful business" means business of takaful whose aims and operations do not involve any element which is not approved by the Syariah;
"takaful certificate" includes any contract of takaful for family solidarity business or general business whether or not embodied in or evidenced by an instrument in the form of a certificate, and references to issuing a certificate shall be construed accordingly. References to a certificate of a takaful operator include any certificate in respect of which the operator is under any liability, whether the certificates were issued by the operator or the liability was transferred to the operator from another;
"takaful operator", "takaful agent" and "takaful broker" means a person who carries on takaful business as takaful operator, takaful agent and takaful broker respectively.