Abstract:
The contemporary concept of Takāful can be explained as providing financial assistance to the
participants as a basis of mutual help, brotherhood and solidarity if the participants face
misfortune. Nowadays in Sri Lanka conventional and Islamic Insurance are conceptualized by
offering products and services. The aim of this study is to check the Awareness of Islamic and
conventional Insurance among Sri Lankan public. Therefore, the respective sample of 226
respondents were participated in this survey. Further, the reliability test of the accumulated
data was inspected with Cronbach's Alpha test. For the data collection a set of questionnaires
using Google structure and shared through E-Mail and WhatsApp media around Sri Lanka
during the period between first week of October and first week of November 2020. Finding of
this study indicated that the majority of the customers mentioned that they are using insurance
due to they are engaged voluntarily in this (48.7%). It gives a good view of Takaful since they
keen interest in Takaful without any compulsion. Although, 35.4% of them engaged with
insurance policy by compulsion. And 30.1% of the participants had experience with Islamic
insurance for more than 3 years. This ensures that they are satisfied with this insurance strategy.
Further, in this study, the researchers worked on measuring the awareness of Islamic Insurance
compare to Conventional Insurance among Sri Lankan; but it can be conducted gender wise or
religion wise, to improve the awareness of Islamic Insurance among other communities, which
can lead to increase the customers of Islamic Insurance organizations.
