Retakaful – An Integrated Mechanism to Enhance Prudence, Cost Effectiveness and Efficiency

The objective of this study is to highlight the current practice retakaful and explore means enhance prudence, costeffectiveness efficiency in managing which represents a major cost Participant Risk Fund (PRF). This qualitative discusses theoretical practical aspects through literature review from published sources; articulated practitioner‟s perspective.This explains concept importance retakaful, outlines methods theory efficiency, analysesthe its impact on takaful business. highlights best practices for prudent management methodologies measuring retakaful. contributes dearth research as nascent industry, compared more matured insurance reinsurance industry. Hence, conventional are also referred benchmark. would provide better insight industry mechanism improve critical component Enterprise Management (ERM) operation. Better will assist bolstering financial position PRF whole.