# Planit:Detailed Takaful Policies Exercise

## Solve for the following problem:

Karim’s Family Takaful has a sum assured of RM 35,000 and the participant’s account is worth RM 15,000 for a total amount available of RM 50,000 on death or disability. It has the estate named as the beneficiary, and he contributes RM 200 to the takaful every month. This policy pays out 100% in the first year of Karim’s complete disability, not indexed. He plans on participating in this family takaful until his assumed mortality.

Tasnim’s Whole Life insurance policy for RM 20,000 is also to go to the estate, and she pays a RM 120 premium every month. This policy pays out 100% in the first year of Tasnim’s complete disability, not indexed.

Karim’s conventional 5-Year Term Insurance expires in three years and has coverage for RM 40,000, for which he pays RM 1,600 each year. The beneficiary of this policy is the estate. In the event of Karim’s disability, the policy pays out 25% in the first year, 25% in the second year, and 50% in the third year. It does come with an indexation on benefits of 4.0%.

**Check the accuracy of your client against the answer key.**