In Takaful business, Tabarru' is a donation for the purpose of mutual protection among the participants. Tabarru' is credited from the Participant's Investment Fund (PIF) to the Participant's Risk Fund (PRF) which will be used to help other participants in the event of any misfortune.
Wakalah (agency) contract in Takaful business refers to a contract established between the Participant and Takaful Operator where the Certificate Owner appoints the Takaful Operator as a wakeel (agent) to manage the Takaful funds on behalf of the Participant in accordance with the Shariah principles.
The main tasks of Takaful Operators that are appointed the wakalah contract will be to manage the Participant's Risk Fund (PRF) and also invest the Participant's Investment Fund (PIF) based on the investment contract either mudharabah, wakalah bi a istihtmar, etc.
Ta’awun means corporation or solidarity (based on the spirit of brotherhood, righteousness, and piety). In Takaful context, ta'awun is referred to as mutual help and indemnity where the participants are committed to making donations with the intention to help each other against any defined perils within the Takaful scheme.