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A. Wakala
B. Kafala
C. Wauf
D. None of Them

Submitted by: Fayyaz Ahmed

The word Takaful comes from the Arabic root word Kafala, meaning “Guaranteeing each other”. The Takaful arrangement is based on the concept of Ta’awun (mutual assistance) and ‘Tabarru’, where a group of participants pool resources in order to mutually share the risk of each other.

Correct Answer: Kafala

Last Updated: June 27, 2019