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Cape Town – FNB on Wednesday laid claim to the title ‘one-stop Islamic financial services shop’ as it launched an alternative to conventional insurance.

FNB Islamic Banking described the new product, Takaful, as “a co-operative system of reimbursement in the case of loss”.

As with conventional insurance, individuals and companies concerned about managing day-to-day risks their assets are exposed to make regular contributions to be reimbursed in the event of loss.

Amman Muhammad, chief executive of FNB Islamic Banking, said Takaful was “the perfect complement to a holistically complete range of financial services offered by FNB Islamic Banking”.

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“We now can truly claim to be a one-stop Islamic financial services shop,” he said.

By offering insurance products that conform to the principles of Sharia, Islamic religious law that governs day-to-day life, the statement noted, Takaful opened up options for financing of assets.

Muhammad said the product would be familiar to most South Africans “as it strongly advocates ideologies of mutual assistance very much like those of Ubuntu … at its most basic a community approach to managing risk in a responsible manner”.