Bank Nizwa has joined forces with Takaful Oman Insurance to offer Sharia-compliant car insurance to its growing customer base across the Sultanate. Customers wishing to take advantage of the new service just have to visit any Bank Nizwa branch.

A signing ceremony cementing the agreement took place with the participation of Khalid Al Kayed, CEO of Bank Nizwa, and Sayyida Rawan Ahmed Al Said, managing director and CEO of Takaful Oman Insurance.

The Takaful concept provides a strategy of risk mitigation by virtue of collective risk-taking that distributes risks and losses to a large number of participants. For consumers planning to benefit from this latest product, their funds that are put into a Takaful Fund account will be invested in Sharia-compliant investments. In addition, all or part of the contribution paid by the participant is a donation to the Takaful Fund, to help other participants by providing protection against potential risks.

Al Kayed said, “We are delighted to further boost our relationship with Takaful Oman Insurance with this offering. We remain strongly rooted to Islamic principles, while constantly innovating and moving forward with tailored solutions for our customers. We are planning to offer Sharia-compliant insurance in other areas at a later date.”

Bank Nizwa previously tied up with Oman Takaful on the Islamic Finance Knowledge Programme, which raised awareness over the benefits associated with Sharia-compliant solutions. Bank Nizwa recently celebrated five years of operations as Oman’s go-to reference and fully-fledged Islamic bank. The bank effectively combines Sharia-compliant products and services with today’s dynamic financial needs. Over the years, the bank has witnessed a steady growth in its customer-base and product portfolio offerings, as more people seek alternative solutions to conventional banking.