Comparative Analysis of Solvency and Risk Management between Conventional and Participative Insurance (Takaful): The Case of Morocco

Abstract

Against a backdrop of sustained growth in participative insurance in Morocco, regulation, consumer awareness and the development of suitable products are emerging as crucial challenges. Although progress has been made in integrating these insurances into the legal framework, further efforts are needed to ensure effective supervision and consistent application of Sharia principles. At the same time, increased public awareness of the benefits and specific features of participatory insurance is essential to foster informed adoption. In addition, the industry must continue to innovate and diversify its products to meet the varied needs of customers, requiring a thorough understanding of consumer preferences and close collaboration with Islamic finance experts. Despite these challenges, participatory insurance offers promising potential to enhance the inclusiveness and ethics of the financial sector in Morocco, subject to continued stakeholder engagement and adequate regulatory support.