External and internal factors that affect the insurance and takaful industry in Malaysia / Anis Sofiea Yahaya

Today in Malaysia, insurance operates in 2 types, either by conventional or Islamic insurance (also known as Takaful). Hence this study aims to investigate the performance of Takaful and the performance of the conventional insurance industry in Malaysia. Data collected to carry out this research are from 2011 to 2020, approximately ten years. The collection of 10 companies consists of 5 Takaful insurance companies and 5 Conventional insurance companies. The dependent variable is the investment performance of both industries. The independent variables of intemal factors (Company variables) consist of company size, return on asset, return on equity, and liquidity. The external factors (Macroeconomic variables) consist of gross domestic product, interest rate, equity return, and inflation. A test result that will be carried out to perform the analysis is Descriptive analysis, Correlation analysis, Multiple Regression analysis, Multicollinearity analysis and Normality analysis. As a result, the Takaful insurance industry has a more significant impact on this study on determining the factors of both internal and external factors towards the Malaysian economy than the conventional insurance industry.