EVALUATION OF ISLAMIC INSURANCE OVER CONVENTIONAL INSURANCE: DIRECTION TO GO
Zuriah A. Rahman**
Mohamed Azam M. Adil***
With financial crisis that hits the world recently and still the consequences continues and may continue to a decade, scholars start to think why Islamic sectors not affected as conventional methods, this study to highlight point on ethics and values for directing humans to Islamic insurance over conventional one. The paper will discuss the principles of Islamic insurance from customers and how it is different from conventional insurance, the element of uncertainly and riba are eliminated as subscription and compensation are concerned and all these principle are according to Shariah principle. The data in this study were collected using one instrument the questionnaire for quantitative design from three different countries (Sudan, Malaysia and Bahrain). To test the hypotheses, a structural model was built-up using the SmartPLS program 2.0 M3 release.