Existing contracts not affected, says MAA Takaful

PETALING JAYA: The potential transaction between MAA Group Bhd (MAAG), Solidarity Group Holding BSC and Zurich Insurance Co Ltd will not affect the existing takaful contracts of its certificate holders, said MAA Takaful Bhd (MAAT).
“MAAT will continue servicing our existing certificate holders and their contracts will remain valid, with all obligations honoured until the end of their term,” MAAT said in a statement last Friday.
Last Wednesday, Zurich Insurance Co Ltd entered into a conditional share purchase agreement to acquire 100% of the share capital of MAAT from MAAG and Solidarity for RM525 million.
MAAG currently owns 75% of the shares of MAAT and the remaining 25% are owned by Bahrain-based Solidarity.
MAAT is a provider of takaful products in Malaysia, recording some RM528 million in gross earned contributions in 2015.
The transaction is subject to the approval of MAAG’s shareholders, among other customary closing conditions. The closing of the transaction is expected to take place within three months of the signing.
“With the potential transaction, MAAT is confident that with the international expertise and global brand combined with the local takaful talent, MAAT will scale greater heights and this will benefit all the certificate holders,” said MAAT.