Toward the end of 2019, Malaysian Re and Pacific Life Re
agreed to work together to further strengthen their offering. This partnership
intends to offer Family Takaful Operators in Malaysia comprehensive and
sustainable retakaful solutions.
Partnership with Pacific Life Re
Through its own shariah-compliant operation, Pacific Life
Re, a rapidly expanding international reinsurer, will play a crucial part in
assisting Family Takaful companies in Malaysia. Pacific Life Re will draw from
its extensive international experience with a particular emphasis on its depth
of knowledge in technical pricing, underwriting, product development, and data
analytics.
Together, Malaysian Re and Pacific Life Re seek to give
takaful operators a competitive edge through new and innovative market
propositions that are influenced by global insights and combined with deep
local expertise to fulfil the demands of Malaysians.
Supporting Digital Transformation in
the Industry
Additionally, by having access to market-leading technology,
powered by Pacific Life Re’s subsidiary, UnderwriteMe, this relationship
intends to enhance the industry's recent efforts to digitalise and change the
underwriting process.
The pandemic has raised awareness of how digitalisation improves efficiency and results.
With the help of UnderwriteMe, insurers can automate their underwriting
procedure and make quick underwriting decisions in both online and offline
settings at the point of sale. This increases the effectiveness of distribution
and the capacity to safeguard people.
Ability to Accept Risks That Adhere
to Shariah
By using a retakaful contract to fund a life insurer under
an inward retakaful arrangement, MRRD will be able to accept risks that adhere
to shariah. Through this agreement, MRRD and Pacific Life Re are able to share
their knowledge and experience with both traditional and takaful operators of
life insurance.
MRRD’s strong local presence, combined with Pacific Life
Re’s global expertise is a positive step to establishing the partnership as a
strong family retakaful provider in the region.
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The enormous scale of the challenge and opportunity to
provide adequate protection for the people of Malaysia requires a collective
effort from not just Pacific Life Re and MRRD, but from the reinsurance
industry as a whole. Reinsurers such as Malaysian Re play a key role in shaping the industry as they help to
stabilize insurers should there be any loss experience by distributing specific
risks. Additionally, MNRB, as the parent company of Malaysian Re, boasts an
extensive international business portfolio. The institution plays a key role in
managing sustainability risks and managing ESG issues, as they help distribute
particular risks among insurers by helping them stabilise in the event of a
loss. Visit the MNRB website https://www.mnrb.com.my/ to learn about other MNRB
businesses related reinsurance, retakaful, retail takaful and more.