Bank Negara Malaysia Seeks to Enhance Perlindungan Tenang Initiative for Microtakaful and Microinsurance Products

Bank Negara Malaysia (BNM) has issued an exposure draft (ED) proposing the specific requirements and guidance to promote more inclusive, innovative and sustainable microinsurance and microtakaful offerings under the existing Perlindungan Tenang (PT) initiative.

PT, an initiative by the Government of Malaysia, aims to provide affordable and simple insurance services for all, and was launched by BNM in 2017. The main objective is to expand insurance and takaful solutions to the bottom 40% of households (B40) in the country, in partnership with Malaysia’s insurance industry.

The ED proposes to enhance the existing PT framework in order to achieve a more meaningful take up...