Unit Linked Life Insurance also known as Investment Insurance, a life insurance policy that provides life insurance protection benefits as well as the opportunity to participate directly in the investment process to gain more asset value. Customer of unit linked life insurance are free to determine their own resource control in order to get better investment results and can respond in the case of inflation so that the risk are being customer's authority. The premium from customer will be used to purchase units of investment funds, in Indonesia there are 2 unit linked price method namely as single price and dual price. Single price is when the value of customer funds is the number of units multiplied with the market price of the unit. On the other hand the company will take costs by taking in front of premiums paid. Dual price consist of offer price and bid price, offer price is used by insurance companies to calculate the policy unit at the time the premium's paid, and bid price is used by insurance companies to assess the unit if customer wants to take the policy cash. In unit linked, each cost component specified in unit linked policy. Protection could be protection of life, disability, accident, and health. Customer may do top-up their policy in spite of minimum amount that company sets, investments in unit-linked insurance funds may be stock funds, bond funds, cash funds, mutual funds, and mixed funds.Type of unit-linked policy insurance could classified as single premium and regular premium, single premium usually paid premium by the insured before the insurance protection begins, regular premium paid regularly in fixed period. When compared to traditional policies, unit linked policies more favorable in terms of transparency because customers will know the allocation of funds and receives reports every year. Also that the unit-linked customers are more flexible in its implementation, in case of a period when customers claim the insurance claim value it will be greater than traditional insurance claims because unit-linked customers receive a bonus and the investment profits. Unit linked policy benefits are potential for high growth in investment returns, high liquidity because customer can sell it anytime, and potential for higher funds accumulation.
Sharia Life Insurance is life insurance that adheres to Islamic law, introduced by Prophet Muhammad SAW. Islamic insurance in principle is mutual help between members of the association with tabaruq funds. Contract that occurs is based on legal ability obtain the rights and obligations, the principal problem is clear and according to the rules of Islam, and should be approved without coercion. In sharia, there are few point which may never violated that is Gharar,Maisir,Riba,Dzalim,and Haram
Islamic Economic System adopts a system of profit-sharing mudharabah is either profit or loss which being part of life insurance agreement for commercial and tabaruq purposes. investment portfolio are safe from haram's activities so the Moslem customer will be more relax.
yaa ayyuhaa alladziina aamanuu ittaquu allaaha waltanzhur nafsun maa qaddamat lighadin waittaquu allaha inna allaaha khabiirun bimaa ta'maluuna (Q.S Al Hasyr 18)
reference : Modul 1 Fundamental of Financial Planning, FPSB Indonesia
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