VITIS LIFE launches Amâne Exclusive Life
VITIS LIFE launches Amâne Exclusive Life, a high-end Islamic life insurance contract certified by CIFIE
VITIS LIFE extends its range of high-end life insurance contracts by offering French residents Amâne Exclusive Life, a unit-linked Islamic contract that complies with the principles of Islamic finance.
The contract was certified by the Shari’ah Board of the Independent Committee for Islamic Finance in Europe (CIFIE) on 7 October 2013, after various analyses and studies to bring the contract into line with the principles of Islamic finance.
The charter, the CVs of the signatory scholars and the fatwa are available as an annex to the contract.
The contract takes the form of a wakalah, in which the insurer (wakil) is appointed, for a fixed fee, by the policyholder (muwakkil) to invest their premiums in Shari’ah-compliant units of account (see the list provided in the contract). The policyholder chooses the investment vehicles from among the Shari’ah-compliant units of account offered.
Main features of this contract:
- No capital guarantee (the value of the underlying assets is not guaranteed, and is subject to upward or downward fluctuations depending in particular on developments in the financial markets).
- No death benefit, no floor guarantee and no life annuity
- No leverage: “what you see is what you get”.
- Nevertheless, sound diversification within the halal investment universe.
- No euro fund.
- Halal (Shari’ah-compliant) holding account (at KBL epb, which transfers the cash amount to the “call deposit” account (in the same currency) opened at QIB UK London): it generates no credit or debit interest and is not invested in the bank’s general assets (neither money market nor bonds) but in Shari’ah-compliant products certified by their own Shari’ah board.
- Mandatory submission to CIFIE’s half-yearly Shari’ah audit.
This contract joins the list of achievements certified by CIFIE and represents strong added value for Islamic finance in France and in Europe.