Azim Mithani began his career with Prudential plc in the UK in 1991 and has extensive experience in life insurance. Azim holds a first class (honors) Bachelors of Science degree in Physics from the Durham University and is a fellow of the Institute of Actuaries.
Could you provide a brief journey of how you arrived where you are today?
I started my career more than 20 years ago. The first part was spent gaining the necessary foundational skills. The second part involved acquiring business acumen through enhanced roles. I have also tried to gain different perspectives by immersing myself in different businesses and cultural settings. All of that has led me to where I am today.
What does your role involve?
As CEO my role involves determining the strategic ambition for the business and then executing those strategies with my management team. My role encompasses every aspect of the business and is incredibly rewarding on both a professional and personal basis.
What is your greatest achievement to date?
Taking Prudential BSN Takaful (PruBSN) to number one.
Which of your products/services deliver the best results?
Since our inception, PruBSN has offered some of the most innovative products in the Malaysian Takaful market, which has cemented our company’s position as the leading Takaful operator.
PruBSN Link Series remains our best-selling product as it gives complete flexibility while providing the best protection and investment solutions. Under this Link Series umbrella, there are three products: namely PruBSN FirstLink, PruBSN SmartLink and PruBSN TakafulLink. Since its launch in September 2011, the products have recorded an impressive RM36.5 million (US$11.5 million) in annual contribution income and have grown by about 50% to RM54.6 million (US$17.1 million) in the first quarter 2012.
We are also extremely proud of another of our innovations, PruBSN Ummah, which is aimed at the spiritual needs of Muslims. It is a comprehensive plan that combines financial protection and spiritual fulfillment.
What are the strengths of your business?
PruBSN’s strength lies in our deep seated credo of ‘innovation and dynamism’ which results in innovative products, our focus on customer service and our commitment to excellence. We are also very disciplined in the way we run our business, using metrics which give us a balanced view of the performance of the business as a whole and only pursuing opportunities that are of value to all of our stakeholders.
What are the factors contributing to the success of your company?
PruBSN’s long list of firsts is one of the contributing factors to the success of the company.
Another factor is our broad-based distribution reach. PruBSN has a combined total of close to 11,000 direct agents and Prudential Assurance Malaysia agents committed serving our 300,000 customers nationwide. PruBSN also partners extensively with renowned local banking institutions which allow greater distributional reach to enable the company to serve and market Shariah compliant products and services to the public. The strong performance of both these channels has contributed to the company’s success.
What are the obstacles faced in running your business today?
Some of the concerns faced by the Takaful players are the over-arching global economic uncertainties, increasing competition among the Takaful operators, evolving regulations, shortage of Takaful expertise and competition for talent which is scarce.
Despite these challenges, PruBSN has remained competitive through our strong marketing activities, the introduction of new innovative products that are in full compliance with new regulations. All of this has seen us achieve strong growth year-on-year.
Where do you see the Islamic finance industry in the next five years?
Islamic finance will become an increasingly significant part of the Malaysian economy, providing jobs and opportunities. Globally it will continue its upward path as evidenced by the continuing strong issuance of Sukuk. We may also see some inroads in western economies, provided the current financial crisis can be restored in the near term. Malaysia will remain a key hub for Islamic finance.
Looking specifically at the Takaful Industry in Malaysia in the next five years, I see Takaful bridging the gap with conventional insurance. The Malaysian Takaful industry has plenty of room to grow mainly due to the low market penetration in a dominantly Muslim population. With increasing awareness, GDP growth and rising incomes, the Takaful industry has a very bright outlook.
Name one thing you would like to see change in the world of Islamic finance.
A stronger presence in Europe.