Journal Screenshot

International Journal of Academic Research in Accounting, Finance and Management Sciences

Open Access Journal

ISSN: 2225-8329

Intention to Purchase Family Takaful: An Extension of Decomposed Theory of Planned Behavior

Mansoor Ahmad Qazi, Maizaitulaidawati Md Husin

http://dx.doi.org/10.6007/IJARAFMS/v14-i1/20563

Open access

Takaful has been gaining a strong position in the insurance market because it is free from interest and this product is an alternative to conventional insurance. Takaful also contributes to financial stability within the economy by spreading risk among a large group of participants, it also helps individuals and businesses for managing unexpected financial setbacks without suffering severe economic hardship. The objectives of this study are, to find out the factors related to intention to purchase a family takaful among people of different countries with the help of previous literature, to inspect some additional variables for extending the decomposed theory of planned behavior, and to inspect the moderating role of income. The current study consists of a systematic review of previous studies. For this purpose, 95 articles were downloaded related to the concept of current research. After screening the data, it was decided to include 60 articles for review and extract the results. Further, this study tries to find out the validity and extension of DTPB (decomposed theory of planned behaviour). Therefore, attitude, subjective norm, and perceived behavioral control were taken as variables. Furthermore, it is found that attitude with dimensions such as perceived usefulness, knowledge, and perceived religiosity has a positive link with the intention to purchase a family takaful. Whereas second proposition is also accepted on the basis of a review of previous studies that subjective norm with its dimension of media referent and word of mouth has a positive and significant relationship with the intention to purchase a family takaful. In this study perceived behavioral control with dimensions such as resource facilities and financial self-efficacy has a positive link with intention to purchase a family takaful. The results of this study are identical to DTPB theory although the dimensions of some variables are modified to the extent D.T.P.B theory. Further, this study has some limitations and implications, such as the systemic review of the literature related to family takaful and purchase intentions. Limited articles from specific journals are selected and the articles are in different contexts of countries. The practical implications of the current study provide guidance on takaful which is an important tool for managing risk, both for individuals and businesses. This study also provides a sense of protection to individuals against a range of different risks. Further, the current study gives the prospects to the individual about the takaful to ensure that takaful contracts are free from Gharar (excessive uncertainty) by providing clear terms and conditions in insurance of all kinds. Individuals get to specify the coverage, contributions, and benefits in a transparent manner.

Ab Ghani, H., & Lambak, S. (2018). Determinants of Takaful: Case in East Coast Region of Malaysia. International Journal of Academic Research in Business and Social Sciences, 8(12).
Baba, A. B. (2021). The influence of Islamic banking products’ features on customer satisfaction in Nigeria Universiti Tun Hussein Malaysia].
Adil, M., Singh, Y., & Ansari, M. S. (2022). How financial literacy moderate the association between behaviour biases and investment decision? Asian Journal of Accounting Research, 7(1), 17-30.
Aikins, M., Tabong, P. T.-N., Salari, P., Tediosi, F., Asenso-Boadi, F. M., & Akweongo, P. (2021). Positioning the National Health Insurance for financial sustainability and Universal Health Coverage in Ghana: A qualitative study among key stakeholders. PLoS One, 16(6), e0253109.
Ajzen, I. (2020). The theory of planned behavior: Frequently asked questions. Human Behavior and Emerging Technologies, 2(4), 314-324.
Al-Emran, M., Arpaci, I., & Salloum, S. A. (2020). An empirical examination of continuous intention to use m-learning: An integrated model. Education and information technologies, 25, 2899-2918.
Ali, M. A., Nazim, M., Hussain, S., Rehman, J. U., & Rehman, S. U. (2021). Impact of islamic financial literacy, subjective norms, risk perception and perceived behavioral control on adoption of islamic banking in Pakistan. REVISTA GEINTEC-GESTAO INOVACAO E TECNOLOGIAS, 11(3), 220-233.
Alzadjal, M. A. J., Abu-Hussin, M. F., Md Husin, M., & Mohd Hussin, M. Y. (2022). Moderating the role of religiosity on potential customer intention to deal with Islamic banks in Oman. Journal of Islamic Marketing, 13(11), 2378-2402.
Amri, N. N. F., Salam, N. R. M., Roslan, N. S. A., & Koh, N. S. A. H. (2023). Determinants of online takaful purchase behaviour among M40 income earners UNIVERSITI MALAYSIA KELANTAN].
Amron, U., & Mursid, A. (2018). Journal of Islamic Marketing. JIMA, 9, 2.
Arshad, N. C., & Irijanto, T. T. (2020). Measuring Sustainability of Takaful Performance in Malaysia. International Journal of Islamic Economics and Finance Research, 3(1 July), 2-13.
Aschwanden, D., Strickhouser, J. E., Sesker, A. A., Lee, J. H., Luchetti, M., Terracciano, A., & Sutin, A. R. (2021). Preventive behaviors during the COVID-19 pandemic: Associations with perceived behavioral control, attitudes, and subjective norm. Frontiers in Public Health, 9, 662835.
Aziz, S., Afaq, Z., Muhammad, L., & Khan, B. (2020). The role of media, word of mouth, and subjective norms in determining attitude and intentions to purchase family takaful schemes. Journal of Islamic Business and Management (JIBM), 10(01), 110-130.
Aziz, S., Husin, M. M., Hussin, N., & Afaq, Z. (2019). Factors that influence individuals’ intentions to purchase family takaful mediating role of perceived trust. Asia Pacific Journal of Marketing and Logistics, 31(1), 81-104.
Aziz, S., Husin, M., & Hussin, N. (2017). Intention to family Takaful adoption: A review theory and empirical work. International Journal of Organizational Leadership, 6, 373-384.
Babajide, A., Osabuohien, E., Tunji-Olayeni, P., Falola, H., Amodu, L., Olokoyo, F., Adegboye, F., & Ehikioya, B. (2021). Financial literacy, financial capabilities, and sustainable business model practice among small business owners in Nigeria. Journal of Sustainable Finance & Investment, 1-23.
Barre, G. M., & Mukhtar, Y. A. (2022). Determinants of takaful adoptions mediating perceived trust in case of Somalia. Journal of Positive School Psychology, 1129–1145-1129–1145.
Batty, M., Gibbs, C., & Ippolito, B. (2022). Health insurance, medical debt, and financial well?being. Health economics, 31(5), 689-728.
Kök, B. S., Sar?kaya, M., Çoban, H., & Mert, E. (2018). A research on the correlation between perceived corporate image and organizational identification. Journal Of Organizational Behavior Research.
Bhatia, R., Bhat, A. K., & Tikoria, J. (2021). Life insurance purchase behaviour: A systematic review and directions for future research. International Journal of Consumer Studies, 45(6), 1149-1175.
Bhatti, T., & Md Husin, M. (2020). An investigation of the effect of customer beliefs on the intention to participate in family Takaful schemes. Journal of Islamic Marketing, 11(3), 709-727.
Bhatty, A. (2010). The growing importance of takaful insurance. Asia Regional Seminar organized by OECD and Bank Negara Malaysia under the sponsorship of the Government of Japan, Kuala Lumpur,
Bolodeoku, P. B., Igbinoba, E., Salau, P. O., Chukwudi, C. K., & Idia, S. E. (2022). Perceived usefulness of technology and multiple salient outcomes: the improbable case of oil and gas workers. Heliyon, 8(4), e09322.
Brewer, P., & Sebby, A. G. (2021). The effect of online restaurant menus on consumers’ purchase intentions during the COVID-19 pandemic. International Journal of Hospitality Management, 94, 102777.
Chawinga, W. D., & Zinn, S. (2016). Use of Web 2.0 by students in the Faculty of Information Science and Communications at Mzuzu University, Malawi. South African Journal of Information Management, 18(1), 1-12.
Chi, T. (2018). Understanding Chinese consumer adoption of apparel mobile commerce: An extended TAM approach. Journal of Retailing and Consumer Services, 44, 274-284.
Costa, C. S. R., da Costa, M. F., Maciel, R. G., Aguiar, E. C., & Wanderley, L. O. (2021). Consumer antecedents towards green product purchase intentions. Journal of Cleaner Production, 313, 127964.
Daxini, A., O'Donoghue, C., Ryan, M., Buckley, C., Barnes, A. P., & Daly, K. (2018). Which factors influence farmers' intentions to adopt nutrient management planning? Journal of environmental management, 224, 350-360.
Dong, J., Smieliauskas, F., & Konetzka, R. T. (2019). Effects of long-term care insurance on financial well-being. The Geneva Papers on Risk and Insurance-Issues and Practice, 44, 277-302.
Han, H., Hsu, L.-T. J., & Sheu, C. (2010). Application of the theory of planned behavior to green hotel choice: Testing the effect of environmentally friendly activities. Tourism management, 31(3), 325-334.
Hossain, S. A., Bao, Y., Hasan, N., & Islam, M. F. (2020). Perception and prediction of intention to use online banking systems: An empirical study using extended TAM. International Journal of Research in Business and Social Science (2147-4478), 9(1), 112-126.
Htay, S. N. N., Sadzali, N. S., & Amin, H. (2015). An analysis of the viability of micro health takaful in Malaysia. Qualitative Research in Financial Markets, 7(1), 37-71.
Ismail, F., Jaffer, S., Unwin, L., Jamil, S., Md Hassan, A., Alajaji, K., & Tan, Y. (2017). Global Takaful Report 2017 Market trends in family and general Takaful. Milliman (Issue July). Available at http://www. miniman. com/uploadedFiles/insight/2017/Takaful-2017-full-report. pdf.
Ismail, M. K., bin Muhamad, M. Z., Aziz, A. D. C., & Rose, N. A. M. (2023). Factors That Influencing The Takaful Purchase Intention of Customers.
Jacob, M. R., & Tan, P. H. P. (2021). The influence of country image, brand familiarity, product quality, and social influence towards purchase intention: The case study of Samsung. JMBI UNSRAT (Jurnal Ilmiah Manajemen Bisnis dan Inovasi Universitas Sam Ratulangi). 8(1).
Jokonya, O. (2017). Critical literature review of theory of planned behavior in information systems research. DEStech Transactions on Computer Science and Engineering, 2017, 177-181.
Kamble, S., Gunasekaran, A., & Arha, H. (2019). Understanding the Blockchain technology adoption in supply chains-Indian context. International Journal of Production Research, 57(7), 2009-2033.
Kang, M. J., & Hwang, Y. C. (2022). Exploring the Factors Affecting the Continued Usage Intention of IoT-Based Healthcare Wearable Devices Using the TAM Model. Sustainability, 14(19), 12492.
Khan, A., Rashid, H. A., Yaqub, R. M. S., & Abbas, S. (2020). Determinants of customer perception about adoption of Islamic insurance (Takaful) in Pakistan. Journal of Business and Social Review in Emerging Economies, 6(4), 1505-1516.
Laato, S., Islam, A. N., Farooq, A., & Dhir, A. (2020). Unusual purchasing behavior during the early stages of the COVID-19 pandemic: The stimulus-organism-response approach. Journal of Retailing and Consumer Services, 57, 102224.
Liu, M. T., Liu, Y., & Mo, Z. (2020). Moral norm is the key: An extension of the theory of planned behaviour (TPB) on Chinese consumers' green purchase intention. Asia Pacific Journal of Marketing and Logistics, 32(8), 1823-1841.
Low, D., & Fekete-Farkas, M. (2021). The demand for life insurance in a developing country and the mediating role of persuasion. Journal of International Studies, 14(3).
Macpherson, C. F., Johnson, R. H., Landwehr, M. S., Watson, S. E., & Stegenga, K. (2020). “Aftermath”: Financial resource requirements of young adults moving forward after cancer treatment. Journal of Adolescent and Young Adult Oncology, 9(3), 354-358.
Maduku, D. K., & Mbeya, S. (2023). Understanding family takaful purchase behaviour: the roles of religious obligation and gender. Journal of Financial Services Marketing, 1-19.
Maiyaki, A., & Ayuba, H. (2015). Consumers' attitude toward Islamic insurance services (Takaful) patronage in Kano Metropolis, Nigeria. International Journal of Marketing Studies, 7(2), 27.
Maltby, K. M., Acosta, L., Townhill, B., Touza, J., White, P., & Mangi, S. C. (2023). Exploring fishers’ perceptions of index insurance and coral reef health in the context of climate-driven changes in extreme events. ICES Journal of Marine Science, 80(8), 2210-2221.
Masood, O., Javaria, K., & Majeed, E. (2020). Enterprise Risk Management Program Effectiveness, Determinants, Execution and effect on Financial Performance: Evidence from Global Takaful Industry. Journal of Islamic Financial Studies, 6(2).
Masud, M. M., Ismail, N. A., & Rahman, M. (2020). A conceptual framework for purchase intention of sustainable life insurance: A comprehensive review. International Journal of Innovation and Sustainable Development, 14(3), 351-373.
Mathew, V., & Soliman, M. (2021). Does digital content marketing affect tourism consumer behavior? An extension of technology acceptance model. Journal of Consumer Behaviour, 20(1), 61-75.
Mohamad Basir, F. A., & Abd Rahman, M. A. H. (2022). Factors influencing the purchasing intention of Takaful hibah products; a conceptual framework. Journal of Islamic Philanthropy & Social Finance (JIPSF), 4(2), 10-16.
Mohd Zain, F. A., Wan Abdullah, W. A., & Percy, M. (2021). Voluntary adoption of AAOIFI disclosure standards for takaful operators: the role of governance. Journal of Islamic Accounting and Business Research, 12(4), 593-622.
Nafti, S. (2022). Takaful and Micro Takaful: A Key Factor of Reduction of Poverty and Undernourishment. 4. Saudi J Econ Fin, 6(1), 7-10.
Nasir, N. F., Roslin, R. M., & Chui, T. B. (2020). An extended analysis of Muslims’ behavioral intention in purchasing unsought products. International Research Journal of Modernization in Engineering Technology and Science, 2(11), 164-178.
Netemeyer, R. G., Warmath, D., Fernandes, D., & Lynch Jr, J. G. (2018). How am I doing? Perceived financial well-being, its potential antecedents, and its relation to overall well-being. Journal of Consumer Research, 45(1), 68-89.
Ngubelanga, A., & Duffett, R. (2021). Modeling mobile commerce applications’ antecedents of customer satisfaction among millennials: An extended tam perspective. Sustainability, 13(11), 5973.
Opoku, M. P., Cuskelly, M., Pedersen, S. J., & Rayner, C. S. (2021). Attitudes and self-efficacy as significant predictors of intention of secondary school teachers towards the implementation of inclusive education in Ghana. European Journal of Psychology of Education, 36, 673-691.
Osman, I., Maâ, M., Muda, R., Husni, N. S. A., Alwi, S. F. S., & Hassan, F. (2019). Determinants of behavioural intention towards green investments: The perspectives of muslims. International Journal of Islamic Business, 4(1), 16-38.
Park, H. J., & Lin, L. M. (2020). The effects of match-ups on the consumer attitudes toward internet celebrities and their live streaming contents in the context of product endorsement. Journal of Retailing and Consumer Services, 52, 101934.
Poan, R., Merizka, V. E., & Komalasari, F. (2022). The importance of trust factor in the intentions to purchase Islamic insurance (takaful) in Indonesia. Journal of Islamic Marketing, 13(12), 2630-2648.
Raza, S. A., Umer, A., Qureshi, M. A., & Dahri, A. S. (2020). Internet banking service quality, e-customer satisfaction and loyalty: the modified e-SERVQUAL model. The TQM Journal, 32(6), 1443-1466.
Riad, M. R., Hassan, R., Salman, S. A., & Yusoff, A. (2021). Development of Takaful Industry in Malaysia. Journal of Islamic Banking and Finance, 40-54.
Roh, T., Seok, J., & Kim, Y. (2022). Unveiling ways to reach organic purchase: Green perceived value, perceived knowledge, attitude, subjective norm, and trust. Journal of Retailing and Consumer Services, 67, 102988.
Sakkthivel, A., Ahmed, G., Amponsah, C. T., & Muuka, G. N. (2022). The influence of price and brand on the purchasing intensions of Arab women: an empirical study. International Journal of Business Innovation and Research, 28(2), 141-161.
Saleh, M. A., Abbasi, A. A., Al Falasi, A. A., Almheiri, M. B., & Echchabi, A. (2022). Customers’ Preference and Selection of Takaful Insurance Products: The UAE Case. In Contemporary Research in Accounting and Finance: Case Studies from the MENA Region (pp. 217-236). Springer.
Sazeri, M. A. H. M., & Yahaya, M. H. (2023). Determinant Factors That Influence Consumer's Intention To Participate In Takaful Scheme: Using Systematic Literature Review. al-Qanatir: International Journal of Islamic Studies, 30(2), 283-290.
Sekaran, U., & Bougie, R. (2017). Metode Penelitian untuk Bisnis: Pendekatan Pengembangan Keahlian Edisi 6 Buku 2.
Shaikh, I. M., Bin Noordin, K., Arijo, S., Shaikh, F., & Alsharief, A. (2020). Predicting customers’ adoption towards family takaful scheme in Pakistan using diffusion theory of innovation. Journal of Islamic Marketing, 11(6), 1761-1776.
Shamsudheen, S. V., Mahomed, Z., & Muneeza, A. (2023). Saddling effect of underlying contracts on sales performance: a multi-group analysis in the takaful industry. Journal of Islamic Marketing, 14(6), 1621-1642.
Sharifuddin, S. S., Kasmoen, N. A., Taha, N. H. M., Talaat, N., & Talaat, A. (2016). The concept of takaful (Islamic insurance) and its functions in the establishment of Syarikat Takaful Malaysia; The first takaful operator in Malaysia. International Journal of Humanities and Social Science Invention, 5(12), 43-48.
Sharma, R., Singh, G., & Sharma, S. (2020). Modelling internet banking adoption in Fiji: A developing country perspective. International Journal of Information Management, 53, 102116.
Singh, J., & Kaur, R. (2021). Influencing the Intention to adopt anti-littering behavior: An approach with modified TPB model. Social Marketing Quarterly, 27(2), 117-132.
Sokal, L., Trudel, L. E., & Babb, J. (2020). Canadian teachers’ attitudes toward change, efficacy, and burnout during the COVID-19 pandemic. International Journal of Educational Research Open, 1, 100016.
Sultan, P., Tarafder, T., Pearson, D., & Henryks, J. (2020). Intention-behaviour gap and perceived behavioural control-behaviour gap in theory of planned behaviour: Moderating roles of communication, satisfaction and trust in organic food consumption. Food Quality and Preference, 81, 103838.
Terry, D. J., & O'Leary, J. E. (1995). The theory of planned behaviour: The effects of perceived behavioural control and self?efficacy. British journal of social psychology, 34(2), 199-220.
Ulker-Demirel, E., & Ciftci, G. (2020). A systematic literature review of the theory of planned behavior in tourism, leisure and hospitality management research. Journal of Hospitality and Tourism Management, 43, 209-219.
Wu, B., & Chen, X. (2017). Continuance intention to use MOOCs: Integrating the technology acceptance model (TAM) and task technology fit (TTF) model. Computers in human behavior, 67, 221-232.
Yazid, A. S., Ariffin, J., Awang, Z., Daud, W. N. W., Zainol, F. A., Salleh, F., Rashid, N. M. N. N. M., Rasit, Z. A., & Hamid, N. A. (2017). Does education moderates the relationship between decision factors and purchase decision of family Takaful protection in Malaysia. World Applied Sciences Journal, 35(9), 1849-1863.
Yusof, M., Ismail, W., & Ahmad, I. (2022). Viability of Securitized Takaful and Retakaful in Takaful Industry. International Journal of Academic Research in Business and Social Sciences, 12(9), 816-828.
Zhao, J., Xue, F., Khan, S., & Khatib, S. F. (2021). Consumer behaviour analysis for business development. Aggression and Violent Behavior, 101591.

(Qazi & Husin, 2024)
Qazi, M. A., & Husin, M. M. (2024). Intention to Purchase Family Takaful: An Extension of Decomposed Theory of Planned Behavior. International Journal of Academic Research in Accounting Finance and Management Sciences, 14(1), 263–278.