The benefit Consuming organic and whole foods Essay

The benefit Consuming organic and whole foods - Essay Example This leads to the food being less healthy. During processing, there is the addition of preservatives, and artificial coloring, which might affect an individual’s health negatively. There is no processing of whole foods and they do not have any unhealthy additives. Whole foods as well do not have added salt or sugar, which might contribute to high blood pressure or obesity. The human body only handles the natural salts or sugars in food (Gussow 4). It is healthier to eat organic food than inorganic food. This is because they lack chemicals and pesticides. Some types of organic foods have high levels of vitamins, as well as, proteins compared to inorganic food. Animals that feed on organic food are as well more healthier compared to animals that feed on inorganic food (Edward 26). Consumption of organic and whole food is not only important for individuals’ health, but also important as far as the environment is concerned. For example, they do not lead to fertilizers or pesticide run-off, which go to the streams or rivers. Such chemicals contaminate water and results in the destruction of habitats. Some pesticides contain toxins, which contribute to health problems like cancer (Benbrook

Malaysia Airlines Marketing Analysis

Malaysia Airlines Marketing Analysis Jump to: PEST Analysis | Marketing Mix Analysis | 5 Ps Analysis Malaysia Airlines, more commonly known as MAS was founded in 1947, as Malayan Airways. Its primary hub used for domestic and international flights is the Kuala Lumpur International Airport, the secondary hub being Kota Kinabalu International Airport. Malaysia Airlines has flights that cover most of Asia and flights that go on the Kangaroo Route between Europe and Australia. They also operate transpacific flights from Kuala Lumpur to Los Angeles, via Tokyo. MAS consists of two main airline subsidiaries that are MASwings and Firefly. Firefly focuses on flights to tertiary cities whereas MASwings prioritizes inter-Borneo flights. Apart from that, MAS also has a freighter fleet operated by MASKargo, which commands freighter flights as well as aircraft cargo-hold for all Malaysia Airlines passenger flights. Lastly, MASCharter operated charter flights using MAS aircrafts. 2.0 Market Environments Micro and Macro 2.1 Micro Environment Malaysian Airlines Systems (MAS) has suffered financially throughout the past decades due to many factors, just like other major full-service carrier airlines company in other countries. Due to events such as the September 11th terrorist attack, the war in Iraq and Afghanistan and also the outbreak of many viruses notably the Influenza virus, the airlines companies throughout the world had suffered its consequences. In order to evaluate Malaysia Airlines microenvironment, the method used is the Porters five forces analysis which consists of Threat of New Entrants, Power of the Customer, Power of the Supplier, Substitutes and Competitive Rivalry. 2.1.1 Threat of New Entrants Malaysian Airlines Systems (MAS) has not been affected by any threats of new entrants for the international stage because the company has been in the industry for a long period of time, which makes the company more stable and mature through the service they offer in the airlines industry. Although the company may not be threaten right now, there could be possible new entrants to the market which may be created by merging two or more airlines company as one. These mergers may also offer competitive prices and services to their customers and could possibly dominate the full-service carrier market in Malaysia. For the local market, Malaysian Airlines Systems (MAS) had been threatened by the new entries to the market notably Air Asia, and a few other entrants such as Tiger Airways and Berjaya Airways. Although these companies target the low-cost carrier market, they have made a dramatic effect to Malaysia Airlines performance and operations. There could be a possible reason that this trend would continue in the future if MAS through its subsidiary company, FireFly could not be as competitive as the other company. 2.1.2 Power of the Customer The airlines industry is full of operations that fly to many locations from many other locations. In Malaysia, there are other airlines company such as Emirates Airlines and KLM Airlines which offers value for money to customers to fly overseas mainly to Europe, which affects the operations of international flights for Malaysia Airlines. The choice of the customers choosing which airlines they prefer are more open due to its variety of offerings from these flight operators with their competitive prices. Therefore, one company does not have the power to monopolize the market because of customers have power to choose and select when they want to fly at the price they are willing to pay. Based on a research, the power of the flight operators has been decreasing in the late 1990s with business airfares decreasing drastically up to 50%. 2.1.3 Power of the Supplier Aircraft maker, Boeing has been dominating the market of supplying aircraft to airlines companies throughout the world, alongside Airbus and other smaller companies. MAS has been buying planes from Boeing since the start of its operations and for this reason; supplier has the power to control the market due to limited choices for the flight operators to choose from. Most of Malaysia Airlines pilots and staff had been trained to use the Boeing systems since the majority of planes owned by Malaysia Airlines are from Boeing. Recently, Malaysia Airlines had purchased a few up to date aircrafts from Airbus, notably the Airbus A380 Jumbo, for their upgrades to their aircraft line-up. Boeing and Airbus has the power towards their customers because they have been monopolizing the market for a very long time and they produce high quality aircrafts and the safety measures they provide are excellent. 2.1.4 Substitutes For a long distance travelling, substitutes are not possible as there are no other form of transportation that can compete with what airline companies can offer which is comfort, the ease of travel, the speed of travelling and also affordability as compared to other source of travelling such as by car, train, busses or by sea. Travelling through air is also more environmentally friendly, able to save a lot of travelling time and can be considered affordable in the current time. 2.1.5 Competitive Rivalry MAS has been competing with other big competitor in the Asian flight market; one of the companies is the neighbouring airlines company, Singapore Airlines and Thai Airways. Singapore Airlines has been offering attractive promotions and discounts to their customers and these have affected Malaysia Airlines operations and profitability in the full-service carrier market. The only way for these companies to survive is through merging with other airlines company. 2.1.6 Prospects Malaysia Airlines has been collaborating with many other airlines operators to share international routes mainly with Australias Qantas Airways, where Malaysia Airlines can fly to more routes that provide them with more profits. Malaysia Airlines should also monitor their performance for the unprofitable routes and cut them off from their offerings so that they could avoid huge losses in the future. 2.2 Macro Environment The definition of Macro Environment is the major external and uncontrollable factors that influence an organizations decision making, and affect its performance and strategies. To evaluate the macro or external environmental factors, PEST analysis is used to provide information on the factors that relates to MAS. 2.2.1 Political Factors It is essential to consider political factors towards the airlines industry in Malaysia due to its important nature in order to determine the future growth of the company. Malaysia has been viewed as a peaceful and harmonious country to others, and has become one of the popular and famous attractions for tourist all over the world because the country is politically stable. Malaysia also has many attractive travel destinations for people to visit and it is considered safe to travel anywhere throughout these destinations. The government of Malaysia has been promoting and maintaining its tourism assets and also implements policies and legislation to protect the investors, customer and the public, so that everyone feels at ease when they are in Malaysia. 2.2.2 Economic Factors In the past decade, global financial crisis has happened notably in year 1998, 2003 and year 2008. This event has affected the performance of the airlines industry globally and most airlines companies had suffered a huge loss and bankruptcy. Malaysia Airlines is one of Airlines Company that got affected the most in this region. Malaysia has been categorised as a developing country, therefore, from the past global financial crisis, the purchasing power of the people has gone down drastically and people rather save up more for important needs rather than getting on a flight for holiday or business trip. Although Malaysia Airlines has been pressured by many other competitors in the airlines industry, they have tried to overcome it by launching their initiative plan such as, Everyday Low Fares promotion in which they offer attractive discounts to any flight that has a lot of unsold seats to attract more customers to fly with them. People prefer to fly with low-costs carriers when the glo bal financial crisis occurs. 2.2.3 Social Factors Social factors are elements which consist of demographic and cultural considerations that affect the size of potential market and the needs of its customers. These factors includes beliefs, value, attitude, opinions and lifestyles of a person which may affect the companys external environment such as cultural, ecological, demographic, religious, ethnic and educational. Government has already implemented some ways to boost the tourism and airlines industry by carrying out campaigns by investing in maintaining the attractiveness of the tourists hotspots and provides excellent hospitality towards the tourism industry. People still prefer to travel by air due to its convenience. The change in the lifestyle of the people in Malaysia will probably help boost the tourism and airlines industry in line with the increase in gross national income per capital (GDP), to indicate that more people can afford to travel by air. 2.2.4 Technological Factors Malaysia Airlines provides online services for their customers to book tickets online, and they also provide other packages such as hotel bookings, lease of car, travel insurance and other commodities. In the recent years, Malaysia Airlines has upgraded its online system in which they implement the Passenger Services System (PSS). This system ensures the smoothness of transactions made online, snappier service delivery and also loyalty programmes, namely the Enrich loyalty programme. Malaysia Airlines has also been providing excellent in-plane entertainment systems such as digitalized entertainment screen for selected seats that consists of movies, music on demand, games and interactive applications. 3.0 Marketing Targeting 3.1 Segmentation Market Targeting is a marketing concept that helps marketers to diverge the market into small units that include people of the same mind. Market segmentation can be divided into several areas such as geographic, psychographic and demographic segments. According to demographic research, the average age of Malaysia Airlines passengers is 14.6 years and mostly ranges from 25 years and above. Most passengers of Malaysia Airlines earn high income that enables them to use their services anytime and it is also seen that most of their passengers are business people that travels all the time. Geographic segmentation The Kangaroo Route that Qantas Airways provides connects flights from Europe to major Australian and New Zealand gateways via Kuala Lumpur International Airport within 5 hours. 3.2 Evaluating Market Segments 3.2.1 Segment Size and Growth Demand for flights from Asia as well as North America and Europe has increased at a high rate since 2002, which dramatically outpaced supply growth. Intra-Asian demand has increased by 40% in the same time span. The predicted Asian economic recovery ensures that MAS has a chance to profit from this excess demand. According to their Business Plan, MAS expects ASEAN passenger demand to double by the year 2020. 3.2.2 Company Objectives and Resources To properly execute their Recovery Plan, MAS intends to further develop their branded customer experience. MAS plans to put their customers as top priority and will be making investments in several tools as well as processes which will mobilize the organization and enable them to execute their vision. Also, they will undergo an overhaul which will allow them to excel on three major dimensions which are commercial effectiveness, flight operations and cost management. They plan to continually improve in areas such as revenue management, direct sales, and intend on the usage of social networking to aid in marketing. MAS also plans to make their service to a more performance-based culture. They are also going to hire more suitable people for the senior leadership of MAS and shall not hesitate to make key decisions to put that objective into action. By cutting down and creating a more limited board of leaders, decisions will be quick and they will once again become a competitive and winni ng organisation, according to their Business Plan. As MAS is to obtain 23 new aircrafts in 2012 with state-of-the-art passenger features, this will generate more sales and marketing functions focusing on the premium sector. Also, in the first half of 2012, MAS launched their new short-haul brand which is flying an entirely new Boeing 737-800 fleet. 3.2.3 Selecting a Market Segment Based on their new business plan, Malaysia Airlines plans to target the premium sector, much like the strategy of Cathay. MAS has the vision to become the preferred premium carrier which will lead to competition between them and competitors Cathay and SIA. Their focus on the premium sector is influenced by the growth in demand in the last decade for domestic as well as international flights where demand greatly outstrips supply. MAS is putting emphasis on a branded customer experience and their new premium carrier will focus on international flight destinations with high traffic rates which in turn will generate revenue at a quicker pace than before, according to their Business Turnaround Plan. 3.2.4 Choosing a Market-Coverage Strategy While Malaysia proves to be a fairly small country in comparison with other Asian countries, MAS plans to harness Malaysias geo-economic centricity in ASEAN which emphasises on their natural cost-competitiveness. In line with focusing on the premium sector, Malaysia Airlines network plans to include destinations where their premium travelers have a high demand and also expand their network to cover the worlds major economic hubs and regions. MAS plans to focus on the individual customer needs of regional premium travelers. This is brought about by the launch of their new short-haul brand which will set standards that emphasise on operational excellence, premium service and cost efficiency. Their new plan to focus on the premium sector is highly advertised with several television ads, news alerts and public service announcements which are easily accessible online, increasing the coverage of aforementioned advertising methods. 3.3 Choosing implementing a positioning strategy MAS makes sure maintenance staff, flight operation staff, and ground crew are world class trained on their technical skills, cabin crew are highly trained and committed to excellent service. Based on MAS recovery plan in 2012 they will buy 23 new aircrafts and slowly get rid of the A330-200 and B747-400 aircrafts over the next 3 years. By 2015 they will have the youngest fleet in the region, where their aircrafts would be equipped with the best hardware. MAS will redo their approach of their branding, distribution and customer loyalty. They will also restore their commercial approach towards their customers. 3.3.1 Product differentiation Service MAS focus on service quality which has earned the company the status of a top-tier global brand. In 2004 Skytrax awarded MAS Five Star. This recognition has won them the Best cabin crew for four consecutive years. MAS staff are trained in their technical skills, their cabin crew is highly trained and committed to excellent service and professionalism. Personnel MAS makes sure maintenance staff, flight operation staff and ground crew are world class in their technical skills. Cabin crew are highly trained and committed to excellent service. Location MAS estimated that 60% of their routes are not profitable on a fully cost allocated basis. To help with their recovery, they are reducing the capacity on routes that have generated losses over the years. Physical attributes MAS will be buying 23 new aircrafts in 2012, and slowly get ride of the A330=200 and B747-400 aircrafts over the next 3 years. By 2015 they will have the youngest fleet of aircrafts that will be full equipped with the best hardware. 4.0 Marketing Mix 4.1 Product In the 4Ps of Marketing Mix, the term product refers to tangible, physical and also the service provided. It characterised the direct product or service to fulfil the customers needs. Malaysia Airlines has been providing up to date products and service. One of it is the e-Ticketing service. E-Ticket service is an online service that provides electronic tickets. With the purchase of e-Tickets, customers need not have to go to physical outlets to purchase their tickets but they can make their purchases online and print the tickets as proof of purchase. It is more convenient to the customers and the airlines company also able to save handling and administrative costs. Customers only need to bring a copy of the printed tickets that indicate details such as booking reference and purchase details. To purchase the e-Ticket, customers need a valid credit card and other approved payment methods. Malaysia Airlines also provides easy payment to their customers. Currently, Malaysia Airlines accepts many different types of payment methods such as credit card (Visa/MasterCard/American Express), Local banks online banking (Maybank2U, CIMB Clicks) and also PayPal. Malaysia Airlines Engineering and Maintenance is one of Malaysia Airlines subsidiaries which are well known for its world class service. The standards of service that they provide is on par with the work carried out overseas such as top European companies in the same line of service and have been in compliance with EASA as recognition for its competency and quality standard. 4.2 Place Malaysia Airlines fly to more than one hundred destination across six continents and they would expand their routes to new attractive destination in the future. They fly domestically and also to foreign countries in North America, South America, Europe, Central Asia, Middle East, Australia, New Zealand and so on. Malaysia Airlines has been recognised as Asias Premier Airlines that offers intensive network to more than 100 destinations worldwide. Recently, Malaysia Airlines offers new destinations such as flying to Narita, Japan and cut off its unprofitable routes including those to Dubai, Johannesburg, Buenos Aires and Cape Town. 4.3 Pricing Malaysia Airlines is currently implementing a new micro-segmentised fare system for its domestic network which covers 23 routes. This is in line with the Flying to Win Customers aspect of the MAS Business Turnaround Plan. Apart from price flexibility, every fare segment has its own set of conditions regarding aspects like ticketing deadlines and refunds. The revised fares allow travelers the choice to combine different one-way fare flights to plan a personalized travel experience. With the new fare system, customers can enjoy cheaper air fare rates. According to the managing director of MAS, Mr Idris Jala, MAS customers will still be able to enjoy some of the lowest air fare rates globally even though the full fares for economy and business class have been raised to an average of 15% and 30% respectively. Research shows that Malaysia is behind Thailand in terms of the average fee of domestic fares. When inflation caused living cost and in turn fuel costs to hike, Malaysia Airlines to ok into consideration that their customers would want more affordable air fares. They implemented cost cutting strategies that positively affected their air fares plus the overall Business Turnaround Plan. MAS plans to remain committed to the governments plan for national integration initiatives which are currently offering trans-Malaysian fares that begin from lower rates than before 21st August 2006. They also plan to continue offering discounts to senior citizens, members of parliament and the like. Aside from these discounts, MAS has ceased to offer its previously discounted price fares. During the implementation of the new micro-segmented fare system which is currently in motion, Malaysia Airlines will still deem all transactions carried out with the previous fares valid. To ensure transparency of said transactions, all fares sold are effective immediately and this is reflected on the tickets of the customers which tallies with the recent cut over to nett fares displayed on tic kets. 4.4 Promotion MAS has strength which is derived from its global acclaim as a 5-star airline with a highly acclaimed brand supported by service orientated personnel. MAS strives to not only provide comfortable long distance service, but luxurious service. Their expertise in providing immaculate service from every aspect has had MAS named Worlds Best for 3 consecutive years. As of late, travelers have bestowed upon Malaysia Airlines the 5-Star WorldAirline Ranking in the 2006 Skytrax Passenger Survey. Participation in the MATTA-MITM Fair 2006 was part of their Business Turnaround Plan to increase revenue via their existing routes plus deliver the their brand experience to customers and business associates. Subsequently, MAS has increased its capacity to cater to the increasing number of web-surfers, Mastercard and Visa credit card users. The users can now pay for their tickets by calling and booking via the call center for flights departing from Malaysia. Customers who opt for this method of payment also enjoy the extra convenience that is the ability to obtain their tickets anytime before their determined departure date from any Malaysia Airlines ticket office in Malaysia or online. MAS has also added the ability to check-in and print your boarding pass via the internet. 5.0 Conclusion In conclusion, Malaysia Airlines has identified the factors that are hindering their growth as a company such as economical factors affecting fuel charges which in turn result in a fare price hike. To rectify this and minimize losses, they have devised a new business plan which is focused on the premium sector that is currently

What is the Relationship Between the Formation of a Modern Chinese Iden

From September 18th, 1931, the date of undeclared Japanese invasion into Manchuria, to August 14th, 1945 marking the end of the War of Resistance, China experienced unprecedented suffering and loss in its struggle for survival. Throughout this time, social, economic, and political conditions underwent severe changes. In the eyes of the world, the Japanese committed sins beyond repentance, and half a century later, no development is evident in this respect. Yet, the War of Resistance gave rise to an invaluable aspect of Chinese culture that defines the nation today. Dr. Sun Yat Sen talked of a nation divided, four hundred million people who shared customs, habits and race, but could not advance in the face of the international world without one truly essential attribute â€Å"...in the world today what position do we occupy?... we should †¦ be advancing in the front rank with the nations of Europe and America. But the Chinese people have only family and clan solidarity; they do not have national spirit. Therefore even though we have four hundred million people gathered together in one China, in reality they are just a heap of loose sand.† (Tamura, 1998, pp.148). It was the Opium Wars, where Western technological development exposed China's military weakness and the subsequent broken treaties of 1922 and 1928, when China’s Western allies failed to intervene in Japan's invasion of Manchuria in September 1931 (Lin, 1936, pp.368) that forced the issue of â€Å"nationalism† on China during latter half of the 19th century. In the decades following the humiliation suffered at the hands of the ‘barbarians’ during the Opium wars, influential and progressive thinkers such as Feng Guifen and Zou Rong, among others, threw themselves passionately into th... ... the history of modern China. Historical Journal, pp.523--543. Spence, J. (2013). The search for modern China. 3rd ed. New York: Norton, pp.137-387. Spitzer, K. (2012). Why Japan is still not sorry enough. [online] Available at: http://nation.time.com/2012/12/11/why-japan-is-still-not-sorry-enough/ [Accessed 1 May. 2014]. Tamura, E. (1998). China - understanding its past. 1st ed. Honolulu: Univ. of Hawai'i Press. Taylor, J. (2009). The generalissimo. 1st ed. Cambridge, Mass.: Belknap Press of Harvard University Press. The Economist, (2013). The Legacy of the Sino-Japanese War- An Interview with Rana Mitter. [video] Available at: http://www.economist.com/news/books-and-arts/21579797-how-struggle-against-japans-brutal-occupation-shaped-modern-china-start-history [Accessed 30 Apr. 2014]. Yeh, W. (2000). Becoming Chinese. 1st ed. Berkeley: University of California Press.

Efffects of School Busing to Students

After four decades of school integration America has given up, and the question is â€Å"Why? † I believe the answer is because absolutely nothing worked! Bussing was a hassle, most magnet schools were set up for false reasons, and everything was very costly. With everything they tried there were still no significant changes in the test scores of the minority students. So now here we are in the late 21st century and it can all be summed up with what Chris Hansen of the American Civil Liberties Union in New York City believes the courts are saying, â€Å"We still agree with the goal of school desegregation, but it's too hard, and we're tired of it, and we give up. † It all started with Brown v. Board of Education saying â€Å"Separate educational facilities are inherently unequal. † There began a plan to desegregate public schools across America. The first plan was bussing when Swann v. Charlotte-Mecklenburg Board of Education stated that federal courts could order bussing to desegregate schools. However in most cases bussing became much more of a hassle than a helper. There were many revolts from parents making situations even more horrible. Most students wanted to go to their neighborhood schools and not be bussed for long trips to attend a ‘better' school. In Seattle the school board unanimously voted to avoid race-based school assignment and increase enrollment in schools closer to home. The busing plan was not working and soon many schools were trying to deactivate this maneuver. There is evidence that federal courts are realizing that the 25-year-old policy of busing to achieve racial balance in schools has not worked as a means for ending segregation or improving the academic performance of minority students. Busing did not work out as planned; scores for minority students were not higher and neither was their happiness. Peter Schmidt opinion is that â€Å"after seeing some districts' labyrinthine busing maps, that mandating the integration of classrooms has cost a good number of students any chance of a fair and quality education. † Another reason why plans for integration stopped was that many believed they were morally wrong. Mr. Symington, a Republican, said, † The education of Arizona's children should not be held prisoner by a racial quota system. † While Edward Newsome feels it's just patronizing to blacks, â€Å"that the courts are so willing to assume that anything that is predominately black must be inferior. † There were also problems with magnet school programs. Most were designed to attract white students to predominately black schools and vice versa. The communities were using magnet schools to lure whites away from private schools. Along with being unjust the magnet school plan also did not work. In 1985 one district was 73. 6% minority, 11 years later the district is now 75. 9% minority. Missouri v. Jenkins stopped the unjustness of Judge Clark and his magnet schools when they ordered it was wrong of him to pay for a plan just to attract suburban students. Plus last June the Supreme Court said the district court had no right to order expenditures aimed at attracting suburban whites. The systems to integrate schools were also very costly. On average the cost for one student per year to be bussed is between $300 and $400. Kansas City spent $1. billion on magnet schools in town, a 10-year failure. San Francisco spent $200 million since 1982 to improve desegregation and after found it lacked even modest overall improvement. John F. Huppenthal, the Republican chairman of the Senate's education committee said, It is evil to hold them in a system which isn't doing much for them, particularly when it is so damn expensive. The huge amount of money they used to pay for these methods came out of what could have gone to improving general schools or improving academic standards. My opinion is that the plans for integration stopped because their maneuvers were not working. I believe those maneuvers should have stopped. They should spend more time improving the schools than integrating the students. There should be more schools like the J. S. Chick elementary school that doesn't look down upon its 98% African American school. In that school the students outscore many of the magnet schools' students on the standardized tests. Minorities don't score lower on tests because there are all minorities sitting around them; they score poorly because the school is poor. I go along with J. Anthony Lukas when he states, † Our task is to educate the kids who're here, instead of yearning for those who have left. And, who knows, perhaps if we do a good enough job, some of those who have left may start trickling back. † I believe some of the plans were a little immoral and wrong. So after four decades of trying to desegregate schools, the plans failed and the country is giving up. Over the time most standardized tests showed minor improvement in minority scoring. The plans cost a lot of money but at least some schools were improved. The intents ended because the costly plans were not working. Neither busing nor magnet schools raised minorities† academic performances, so the country has stopped the integration plans.

Endorsement Of Esol In The Educational System Of Institutions Essay

English for Speakers of Other Language or ESOL programs are considered one of the most important courses offered by learning institutions today whether on personal basis or through on-line teaching. In this manner, institutions are also encouraged handle ESOL programs to be able to meet the needs of a growing market of people who are expected to speak professional English. Hence, even business administrations are being invigorated to host an ESOL program even for their own employees alone. Many business administrators believe that this step of improvement would naturally bring their company great rewards especially with regards to being globally competitive. However, when it comes to the part of the learning institutions, taking this big step of adjustments towards providing adult students with professional business English basics may not be that easy to imply. Certainly, a certain level of motivation is needed to be able to meet this requirement of the growing market of people who are able to speak English as their second language. The utilization of the right motivation procedure is indeed the key to this factor of needed adjustments especially for the educators. ESOL students come form all ages and all races as well. This is the reason why teaching the said clients of education would not only require professional application of the standard teaching procedures, it also adds up the fact that there is a need for the educators to adjust with the people they are supposed to deal with during the class. They must be bale to recognize the existence of cultural diversity in the class. Thus, this means that the teachers should at least cater to the individual differences of the students as well. What motivation could be applied? Is there any way by which the educators could be moved to get along with the adjustments that are needed for the program? In this regard, the ESOL programs hosted in Toronto shall be examined in this paper. This is especially focused on how the educators were mainly encouraged to adjust themselves with the program and how the said motivations gave fine results for the educating processes of the said state. Problem Statement It has been mentioned earlier that there is a dire need of producing or formulating programs that suits the need of adults and young students as well to learn business English for them to be prepared in facing the real business world later on. Hence, the problem that is to be discussed in this paper is much related on the way that the educators were motivated to make the necessary adjustment for the said program applications. The following are among the questions to be answered: †¢ How could the educators be moved to take advantage of the current need of ‘producing’ students who are able to speak English as their Second Language, thus giving the business industries higher competencies in the future? †¢ How should the educators feel about the progressive teaching strategies that the program requires of them? †¢ Would there be progress in applying the necessary points of consideration in the said program, especially with regards to teaching strategies? These questions shall serve as guidelines for the author of this paper in completing the required data for this assignment. Review of Related Literature As mentioned earlier, it is indeed a certainty that the journals and books used by the author of this study is much related to the issue being discussed. The said journals are to be introduced herein. One of the basic factors of success in any organizational progress is the art of motivation. However, motivational procedures are not that easy to apply especially if the crowd to be dealt with is not that inclined or cooperative in the progress being implied in a specific organization. In this regard, Zoltan Dornyei talks about specific factors of concern especially on the part of the educators when they are dealing with their students. Here are some of the suggestions he mentions: †¢ Be leaders and become role models in class As the educators show their enthusiasm in teaching, the students too are able to have encouragement to learn the language with enthusiasm as well. †¢ Make the Classroom Environment Lively This could include the ability of the educators to encourage their students to speak out their ideas and their thoughts regarding the issues being discussed which should be of interest to the students depending on their age and their races. This would allow the students understand the language they are trying to learn while enjoying sharing their thoughts at the same time. †¢ Be Open to Suggestions from Students The fact that the students also want to have exposure to the language at a certain level, the educators should consider hearing what they want form the class to be able to help them participate more during discussions. This way, they could become more progressive with their studies as the classes continue. Discussions An ample amount of motivation in the Toronto ESOL program offerings have resulted in considerable successful final products. However, the question here is, how much motivation did it take before the educators were convinced to take on the challenges of teaching other races with the ESOL programs that has been formulated for the different institutions to include in their learning programs? Certainly, motivating people to take on the challenges of change is not an easy task. According to Andrew Duffy’s report on Canadian learning institutions, Canada’s failing of a number of students who are studying in the said country has been due to the fact that the seriousness upon the program that the students are ought to learn has not been realized much by the students themselves. As a result, educators handling this type of situation also loose their enthusiasm upon the application of the program, which they ought to offer to their students. This situation then called for much motivational processes on the part of the administrators of the learning institutions. The Motivational Procedures Specifically focusing on the institutions in Toronto, Canada, it has been reported that the staffing of ESOL teachers has been increased in a matter of time to be able to support the existing teaching force with the other educators that are needed to attend the needs of the students in Toronto. Notifying the educators on how to specifically help the students realize what they have to learn about their chosen courses have made so much difference for the reports which were once reported about Toronto. The Toronto Star reports that in a nationwide survey of some 9,000 high school dropouts in Canada, â€Å"three out of every 10 dropouts leave school because of boredom. † Good grades are no indicator that students will stay in school, as over 30 percent of those surveyed had high marks. Jim Livermore, vice president of the Ontario Secondary School Teachers’ Federation was not surprised. He stated: â€Å"Boredom is more of a factor today than it was 20 years ago because of television. To interest kids everything today has to be glitzy, high tech and showy. † Mr. Livermore feels that some of the brightest minds are not being challenged in school. He added that the â€Å"old way of teaching doesn’t work any more. Rather than lecture-style teaching, we have to get students more involved in learning. † Hence, it has been added in the motivational procedures the educators need to be educate themselves. This education includes teaching strategy enhancement as well as informing the teachers on the real need of the country of having English Speaking citizens. It has been stressed out that the production of students who are able to speak professional business English gives the country a greater chance of being globally competitive, as their employees become world class. Hence, the educators were able to realize the need for the said program. As a result, the educators were motivated to continuously assist their students to becoming highly competent when it comes to using the English language in a professional level. Results of Motivation After the motivational procedures have been implemented, fine results have been received by several Toronto learning institutions. Yes, the application of the learned strategies through the motivational programs, which were commenced, proved to be productive and successful for the students who were able to realize the need for them to progress on their own way. Certainly, it has been observed that much of the motivational tactics that the administrations used for these programs were indeed effective. The motivation that the teachers were able to gain during the training programs has directly affected the way the students view their need to learn their subjects. The fact that the teachers realized the need for the program in their place, the programs became much productive, able to give the students the ample training they need to be able to become competent enough in the usage of the English language. This then helps the Canadian employers to be more at ease as they hire students who were produced by the Toronto learning institutes. Conclusion With the details of ESOL development programs in Canada, specifically in Toronto, listed in this paper, it shows how much motivational procedures aimed towards the educators could contribute so much on the way the students progress in their studies. The effectiveness of the curriculum of English learning offered in institutions of education is highly based upon the enthusiasm of the educators to handle their classes while being able to meet the needs of each of their students. Indeed, teaching students with so much diversity among them is a great challenge to any educator in the learning industry. The consequences though of ample training and motivation with regards to the teaching strategies used by the educators is indeed fruitful and beneficial on the part of the students and the economic growth of the country basing from the competency of the employees produced by the institutions, regardless of the fact that they are native English speakers or not. In this manner, the certainties of the employers on the new graduates of learning institutions become stronger and the results of the job done by these students are much globally competitive as they re able to use the English language in professional applications. BIBLIOGRAPHY Internet Journal Sources: The Community Social Planning Council of Toronto. (2005). Community Voices, Perspectives and Priorities. http://72. 14. 253. 104/search? q=cache:LHaAxJemZSoJ:www. inclusivecities. ca/publication/reports/Toronto-ICC-Report. pdf+ESOL+in+Toronto+Canada+reports&hl=tl&gl=ph&ct=clnk&cd=6. (June 25, 2008). The 2003 Atkinson Fellowship In Public Policy. (2003). Class Struggles: Public Education and the New Canadian. http://www. atkinsonfoundation. ca/files/Duffyrev. pdf. (June 25, 2008). A. H. Maslow. (1943). A Theory of Human Motivation. http://www. advancedhiring. com/docs/theory_of_human_motivation. pdf. (June 25, 2008). Frederick Herzberg. (2006). Human Relations Contributors. http://www. accel-team. com/human_relations/hrels_05_herzberg. html. (June 25, 2008). Books: Don Dinkmeyer. (1995). Leadership By Encouragement. CRC Publishing Company. Zoltan Dornyei. (2001). Motivational Strategies in the Language Classroom. Cambridge University Press. Lewis E. Losoncy. (2003). The Motivating Team Leader. DC Press. Barbara Burnaby. (1992). Socio-Political Aspects of ESOL in Canada. Ontario Institute for Studies in Education. JoAnn Phillion. (2002). Narrative Inquiry in a Multicultural Landscape: Multicultural Teaching and Learning (Issues in Curriculum Theory, Policy, and Research). Ablex Publishing. Devon Woods. (1996). Teacher Cognition in Language Teaching: Beliefs, Decision-Making and Classroom Practice (Cambridge Applied Linguistics). Cambridge University Press. Craig Chaudron. (1998). Second Language Classrooms: Research on Teaching and Learning (Cambridge Applied Linguistics). Cambridge University Press. HYBELS. (2003). Communicating Effectively. McGraw-Hill Humanities/Social Sciences/Languages Jere Brophy. (2004). Motivating Students to Learn (2nd Edition). Lawrence Erlbaum Associates; 2nd edition. Irene M. A. Henley. (2004). Aviation Education and Training: Adult Learning Principles and Teaching Strategies. Ashgate Publishing Company. Ken Hultman. (2001). Balancing Individual and Organizational Values: Walking the Tightrope to Success. Pfeiffer; 1st edition. Ezdras Martinez. (1990). Management Theory and Practice. Rex Book Publishing Manila.

Climatic Hazards-Causes,Impacts and Response essays

Climatic Hazards-Causes,Impacts and Response essays a) Discuss the atmospheric processes responsible for (i) strong winds (ii) drought. Strong winds are largely caused by differences in pressure over areas of the land. Wind direction is always from low pressure to high pressure as if a high pressure system is dominant over an area the air can only rise and once it has risen the only place for it to move is to a low pressure area. This determines how fast or weak the winds are. The closer the isobars are the quicker the air can move from high to low pressure thus the winds are stronger. Very strong winds can be found around the equator because the intense heating of the land means that the air rises more quickly. Hurricanes form in this area near the Americas. They develop as hot seawater, which can acquire temperatures of 27c or above, heats the air above it. As this air starts to rise it draws moisture up form the sea like a vacuum. An area of intense low pressure is formed in the centre, this is called the eye of the storm and is an area of calm. As air is sucked up to replace the rising air, winds of about 150-200kph initiate. Cumulo nimbus clouds form and torrential rain starts to fall. The sea is a constant form of strength for them as more and more warm moist air is sucked up, this is why as they begin to travel over land they start to die out. Tornadoes are very similar to hurricanes and cyclone (the Asian equivalent of a Hurricane) although they occur on a smaller scale and originate over land, which is why they are less powerful. They are most common in America, especially in an area nicknamed tornado alley, which stretches from Canadas Great Lakes to Texas. The rotation of the Earth creates another force, termed Coriolis force, which acts upon wind and other objects in motion in very predictable ways. According to Newton's first law of motion, air will remain moving in a straight line unless it is influenced by an unbalanc...

God - Given Skill essays

God - Given Skill essays God Given Skill An artist is a person skilled in the creation of aesthetic objects, environments, or experiences that can be shared with others (artist Websters New World Dictionary). People associate artist with painters, sculptures, and drawers. Many artists recognize their gift at early ages. Although, many artist use their skill to show their cultures and feelings, the word artist, when heard people think Picasso, Van Gogh, Monet, or Cassett. When people hear Black American Artist, they think of people who do African Art. However, many Black American Artists specialize in many other things other than African Art. Faith Ringgold, Jean Michel Basquait, William Tolliver, Jeremy, Maurice, and Robert Love, Kathleen Wilson, Charles Bibbs, Renee Cox and Paul Goodnight are famous Black Artists who have shaped the world of art for many up comings. An overnight success, born in Brooklyn, New York, Jean Michel Basquait lit the torch for many black artists. Like other artists before him, Basquait started his work as a teenager. Basquait was skilled in the art of graffiti, the use of spray paint cans to depict pictures and words. At the age of nineteen, Jean Michel Basquait became famous for his art -work. His shows anticipated as the big events of the New York season, and his painting, were bought by the most powerful collectors and museums (Jean Michel Basquait by Annan Boodram pg.22). Baquait started his painting on subway cars and the walls of buildings in Brooklyn. Basquaits paintings and drawings conjured up marginal urban black culture and black history, as well as the artists own conflicted sense of identity. Jean Michel Baquaits friend and idol was Andy Warhol. However, at the age of 27, Basquait died of an overdose on drugs. He was the first black artist to really succeed in the powerful white art - world, his early de ath shows that he was cas...

Biography of Miriam Benjamin, Inventor of Signal Chair

Biography of Miriam Benjamin, Inventor of Signal Chair Miriam Benjamin (September 16, 1861–1947) was a Washington, D.C. school teacher and the second black woman to receive a patent in the United States, given to her in 1888 for an invention she called a Gong and Signal Chair for Hotels. This device might seem to be a bit quaint, but its successor is still used daily- the flight attendant call button on commercial aircraft. Fast Facts: Miriam Benjamin Known For:  Second black woman to receive a patent, she invented the Gong and Signal Chair for HotelsBorn:  September 16, 1861 in Charleston,  South Carolina  Parents: Francis Benjamin and Eliza BenjaminDied:  1947Education: Howard University, Howard University Law SchoolAwards:  Patent number 386,289Notable Quote: From her patent application: The chair would serve to reduce the expenses of hotels by decreasing the number of waiters and attendants, to add to the convenience and comfort of guests and to obviate the necessity of hand clapping or calling aloud to obtain the services of pages. Early Life Benjamin was born as a free person in Charleston, South Carolina, on September 16, 1861. Her father was Jewish and her mother was black. Her family moved to Boston, Massachusetts, where her mother  Eliza hoped to give her children access to good schooling. Education and Career Miriam attended high school in Boston. She later moved to Washington, D.C. and was working as a schoolteacher when she received her patent for the Gong and Signal Chair in 1888. She continued her education at Howard University, first attempting medical school. These plans were interrupted when she passed the civil service exam and got a federal job as a clerk. She later graduated from Howard University law school and became a solicitor of patents. In 1920, she moved back to Boston to live with her mother and work for her brother, noted attorney Edgar Pinkerton Benjamin. She never married. Gong and Signal Chair for Hotels Benjamins invention allowed hotel customers to summon a waiter from the comfort of their chair. A button on the chair would buzz the waiters station and a light on the chair would let the wait staff know who wanted service. Her patent notes that this invention would serve to reduce the expenses of hotels by decreasing the number of waiters and attendants, to add to the convenience and comfort of guests and to obviate the necessity of hand clapping or calling aloud to obtain the services of pages. Anyone who has tried to get the attention of a waiter, especially when they have all seemingly disappeared into the woodwork, might wish this had become a standard in every restaurant. Patent number 386,289 was issued to Miriam Benjamin on July 17, 1888. Her invention received attention from the press. Miriam Benjamin lobbied to have her Gong and Signal Chair adopted by United States House of Representatives, in order to signal pages. The system that was eventually installed there resembled her invention. The Inventive Benjamin Family Miriam was not alone in her inventiveness. The Benjamin family made use of the education their mother Eliza valued so highly. Lude Wilson Benjamin, four years younger than Miriam, received U.S. Patent number 497,747 in 1893 for an improvement on broom moisteners. He proposed a tin reservoir that would attach to a broom and drip water onto the broom to keep it moist so it wouldnt produce dust as it swept. Miriam E. Benjamin was the original assignee for the patent. Edgar P. Benjamin, the youngest in the family, was an attorney and philanthropist who was active in politics. But he also received U.S. Patent number 475,749 in 1892 for a trousers protector, a clip to keep trousers out of the way while bicycling. Death Miriam Benjamin died in 1947. The circumstances of her death are not published. Legacy Benjamin was the second African-American woman to receive a United States patent, after Sarah E. Good, who invented the folding cabinet bed three years prior in 1885. Benjamins invention was the precursor to the flight attendant call button, a key tool for customer service in the airline industry. Sources Brodie, James Michael. Created Equal The Lives and Ideas of Black American Innovators. William Morrow and Co. Inc., 1993Mahoney, Eleanor. â€Å"Miriam E. Benjamin (1861-1947) BlackPast.†Ã‚  BlackPast, 14 Mar. 2019.Miriam E. Benjamin: African American Inventor. MyBlackHistory.net.

The Influence of Children on The Buying Decisions of Their Parents Dissertation

The Influence of Children on The Buying Decisions of Their Parents - Dissertation Example In the recent times it is evident that the children are emerging as major players’ in the decision making processes of a family. In his researches McNeal gives an average, where we find that in the United States, children between the age group of 4-12 years tend to influence parents’ buying that is worth US$ 130 billion (Lackman & Lanasa, 1993). The influence of the children on their parents buying pattern varies with each sub-decision stage. Children that are the initiators, tend to exert to greater influence on their parents as regards decision-making on buying household products, than their non-initiator counterparts. The study of the literature also suggested that older children exert greater influence on their parents; more than the younger ones, but the child gender does not form a significant factor in influencing the parents buying decisions. From the review of the various articles, it can be easily derived that the marketers must now expressly take note of the growing influence of the children’s role within the arena of a family’s decision-making process. This review will first examine the family as a consumer base unit taking into perspective the presence of the child as a potential consumer within the realms of a family. The next segment would examine the children’s role on the parents’ decision-making processes; so that we comprehend the emerging picture where we find that the child from being at the background slowly comes out as a major player in the consumer segment of a marketplace. The third segment will examine the role of the children as a direct or indirect consumer (where he has established himself within the consumer segment) and will examine the various factors that influence the children’s purchase preferences. The fourth section will take a look at the various cognitive development theories that help a researcher to understand the biological/scientific reasoning behind a child’s at traction towards purchasing products and the consumer market. The fifth section will give a detailed insight into the theoretical reasoning behind a child exerting influence on his parents’ purchase decisions. Overall, the review gives a direction to develop a conceptual model after completely investigating all the factors that motivate the children's preferences of certain specific products and their influence strategies in family decisions. This will give us a clear perspective, as how and why modern marketers and consumer researchers should focus on children as an emerging primary segment, within the consumer market section. 1.1 A family as a consumer base unit â€Å"Family as a consuming and decision making unit is a central phenomenon in marketing and consumer behavior† (Commuri and Gentry, 2000, 1). For many decades the central role of the family in decision making and consumption of products has been identified by the marketing managers (Assael, 1998).  

The Changing State of the Education System Essay

The Changing State of the Education System - Essay Example An option which has been forward is the idea of having charter schools as a way for parents who may not be happy with the present public school system that their child, or children, is in at the present time. "Charter Schools are sponsor-created and -administered, outcome-based public schools that operate under a contract between the school and the local school board or the state. To establish a Charter School, certified (in Ohio's case, certificated) teachers and/or other individuals or organizations, such as colleges, cultural institutions, government bodies, or parents, draw up plans for an innovative, outcome-based** school. (Minnesota's 1993 charter legislation allows for sponsors other than teachers.)," (Sautter p.1). A common complaint for many supporters of the public school system is that, to support charter schools, would drain necessary operating funds from an already fiscally strapped school system. Some interesting statistics for charter schools comes from the website fo r the National Study of Charter Schools: Characteristics of Charter Schools. Those statistics are; (1) Charter schools enroll about 0.5 percent of public school students in the charter states. (2) Most charter schools are small, particularly compared to other public schools. Charter schools have an estimated median enrollment of about 150 students, whereas other public schools in the charter states have a median of about 500 students. More than 60 percent of charter schools enroll fewer than 200 students, whereas about 16 percent of other public schools have fewer than 200 students. Charter schools begun in the 1995-96 and 1996-97 school years have a higher proportion of small schools, those fewer than 100 students than schools opened in earlier years. (3) Many charter schools have nontraditional grade configurations. Charter schools include a higher proportion of K-12, K-8, and ungraded schools than other public schools. (4) Most charter schools are newly created schools. An estima ted 62 percent of charter schools were created because of the charter opportunity; the remainder are pre-existing public schools (25 percent) or pre-existing private schools (13 percent) that have converted to charter status. (5) Newly created charter schools tend to be smaller than converted schools. The median school size for newly created schools is 116 students, compared to a median of more than 380 students for pre-existing public schools. (National Study of Charter Schools 1). While the argument for charter schools has always been that they are better capable to educate the youth of today for the challenges of tomorrow, it is important to mention that charter schools are not above the same failures which plague their public counterparts. In a New York Times article dated 8 November 2007, author Sam Dillon details the campaign by Ohio officials to overhaul their charter school system because, surprise, it too is plagued by issues of poor performance. To sum it up, Ohio Governor Ted Strickland is quoted as saying that, "Perhaps somewhere, charter schools have been implemented in a defensible manner, where they have provided quality," he said. "But the way they've been implemented in Ohio has been shameful.

The Contemporary Hospitality Industry Essay Example | Topics and Well Written Essays - 4000 words

The Contemporary Hospitality Industry - Essay Example The diversification within the industry ranges from one-person operations to multinational mega-corporations. In just the accommodations area alone, the offerings within the UK range from small mom-and-pop bed and breakfast operations to huge five-star hotels. The bed and breakfast operations are generally carried on by citizens wishing to keep historical homes in good repair, so they offer, patients during the season to supplement their income. These operations are generally quite comfortable and offer a full English breakfast. They are extremely popular for two reasons: the cost is lower and the service is more personal and offers the opportunity to get to know some local people. The price range of bed-and-breakfast within the UK starts at a low of around 7 pounds per night per person to a rather high 75 pounds per night per room. This last is rather palatial, while the first is generally offered in the lower-cost areas, such as Wales. Due to their popularity, some commercial B & B operations have opened in recent years. Other accommodations range from smaller hotels to very large establi shments, which offer a huge range of services. (William Reed Ltd 2007 )The price range here starts at around 35 pounds per night per person to a high of several thousand pounds per night per suite. Quite a few of these still offer the customary English breakfast, but economics are causing many establishments to phase this out. The second-largest sector of the UK hospitality industry is food. While the UK is not exactly famous for its cuisine, the variety of food service is really quite grand. This ranges from street vendors and tiny one-person quick service places to small chippies, take-aways, fast food chains in local restaurants, too small and large pubs, teahouses and cafeterias, and finally to grand restaurants in scenic locations and large five-star hotels. Good solid food, such as that found in most pubs, is

Joan Wallach Scott, Gender and the Politics of History Essay

Joan Wallach Scott, Gender and the Politics of History - Essay Example Scott’s literature clearly reflects the change brought by feminist history and post-structuralist theory in the way we perceive history (Amazon.com n.d. a).Through her masterpiece, Gender and the Politics of History, Scott has put forward lucidly her own broad, complex and easily understandable definition (Amazon.com n.d. a).She argues convincingly revealing the fact of gender’s significance in the analysis of history (Amazon.com n.d. a).In her book, Scott has pointed out that historians are always into reassessing the grounds, definitions and even the archival sources of history (Amazon.com n.d. a). The challenging theoretical offers have been exemplified with her work on the history of French workers (Amazon.com n.d. a).The literature encompasses an insightful learning of the history of American women historians (Amazon.com n.d. a).Through her masterpiece Scott has offered various remarkable theoretical observations for both feminists and other historians (Amazon.com n.d. a).It is a purely political literature and is expected to produce both disagreement and motivation (Amazon.com n.d. a). Gender and the Politics of History contributes a keenly awaited perception to debates in historiography and the philosophy of history (Gender and the Politics of History 1990). It appears less of a report and more of a book about a historian’s introspection of what the field of writing history results to, what its object is, and what exactly she feels being a professional historian (Gender and the Politics of History 1990). â€Å"History,† in the words of Scott, â€Å"is as much the object of analytic attention as it is a method of analysis.† (Gender and the Politics of History 1990: 3). The essays can also be read as intellectual autobiography, a personal report in which Scott brings into light various attractions and threats along with the issues of post-structuralist theory (Gender and the Politics of History 1990). Gender and

Behavioural Economics Coursework Example | Topics and Well Written Essays - 4000 words

Behavioural Economics - Coursework Example Economics by definition involves a study in which the structures, manners, standards, and trends through which resources are allocated. Organization in economics is debatable, as there is no limitation to the strategies that may be employed by stakeholders to gain an edge over the competition. Economics is perceived as being a practice and academic undertaking. Economics has varied interpretations and in some instances, perceived as a theory. The most popular definition of economics is a discipline that studies â€Å"the organisation of economic activities in society†. There are several queries that arise from the definition of economics concerning the elements and aspects of the discipline, such as the production quantities limits, pricing of products, and generally how one may make money from engaging in such activities. Considering the definition provided, the ‘economics’ of regions vary depending on the values, virtues, and preferences of the society in questi on. This draws interest to the concepts of capitalism and socialism, among others. The mode and trends of decision-making is a determinant of the economic system in the society. The ‘economic problem’ is sourced from this approach instilled in society. The concept of the economic problem involves â€Å"how to satisfy desires, and/wants with scares means. Be it as stated above, institutions operating under a similar economic model may not share the economic problem, as each institution has a different perception. The meaning of this argument is that economics is a rationalized concept that is predetermined by the subject. The definition of the economic problem is parallel to the definition of an economic good. An economic good is defined as anything that is both scares and desirable, which further complicates the concept of economics, since even straightforward

How Willy Loman (and Biff) Challenge Traditional Notions of Tragedy in Essay

How Willy Loman (and Biff) Challenge Traditional Notions of Tragedy in Miller's 'Death of a Salesman' - Essay Example All these aspects turn his life upside down, making the play a tragedy – a conflict not only in the mind of Willy Loman, but also his son Biff, who seeks to find a solution for the turmoil of thoughts that waft past his mind like a raging sea. The play seeks to portray two different American dreams – one where wealth and success are the answer to a happy life, and the other where happiness is the answer to a successful and wealthy lifestyle; both taking place within the same household. However, the play is different from the traditional notions of tragedy; instead of simply being a story where the protagonist fails in life, suffers extreme sorrow because of the inability to cope with a stressful situation, it is a painful story about the relationship between a father and a son and how one’s tragedy becomes the other’s awakening to a better life. Willy Loman is an old man and over the course of time, he faces the delusion of being able to achieve the Americ an dream of simple success by his sales business. He is desperate for his sons to triumph in what he always wanted to and could not and that can also be witnessed in the manner in which he killed himself, leaving behind a handsome inheritance with which Biff could follow in his father’s wake. ... Willy, on the other hand, was stuck in the labyrinth of life with no desire within himself to find a way out. Many critics write that his surname Loman is actually a pun on the word ‘low-man’ or the low self-esteem that he had for himself considering that he never felt happy about himself or his life. It is pertinent to note that no tragic hero puts himself in the situation knowingly; even if he does so, he always tries to find a way out of the mess that he has created for himself. Willy on the other hand, had no will within him to get out of what he had fallen into. He was lying entrapped within a web of his own lies and delusions that he was not willing to give up on; perhaps life to him was a mere step away from achieving the American dream and he blamed the same on the time and place that he was in life at the time, and thus wanted his sons to carry his name forward by finishing what he had started. However, by thinking about such propaganda all day, he often forgot to understand the turmoil of emotion that his family was undergoing; the love and affection that they had for him and the mental support that they provided him with. When his son Ben states â€Å"The jungle is dark, but full of diamonds,† (Miller, Arthur) a metaphor is presented on the death that the salesman took upon himself. Willy’s act of committing suicide was rough like a diamond and he means to say that Willy represents every other salesman in the country trying to realize his dream without understanding the dangers that were obstructing him from doing so, and all of them together make up the entire concrete and commercial jungle where they are trying their best to understand their material capacities. The only place where

Behavioural Economics Coursework Example | Topics and Well Written Essays - 4000 words

Behavioural Economics - Coursework Example Economics by definition involves a study in which the structures, manners, standards, and trends through which resources are allocated. Organization in economics is debatable, as there is no limitation to the strategies that may be employed by stakeholders to gain an edge over the competition. Economics is perceived as being a practice and academic undertaking. Economics has varied interpretations and in some instances, perceived as a theory. The most popular definition of economics is a discipline that studies â€Å"the organisation of economic activities in society†. There are several queries that arise from the definition of economics concerning the elements and aspects of the discipline, such as the production quantities limits, pricing of products, and generally how one may make money from engaging in such activities. Considering the definition provided, the ‘economics’ of regions vary depending on the values, virtues, and preferences of the society in questi on. This draws interest to the concepts of capitalism and socialism, among others. The mode and trends of decision-making is a determinant of the economic system in the society. The ‘economic problem’ is sourced from this approach instilled in society. The concept of the economic problem involves â€Å"how to satisfy desires, and/wants with scares means. Be it as stated above, institutions operating under a similar economic model may not share the economic problem, as each institution has a different perception. The meaning of this argument is that economics is a rationalized concept that is predetermined by the subject. The definition of the economic problem is parallel to the definition of an economic good. An economic good is defined as anything that is both scares and desirable, which further complicates the concept of economics, since even straightforward

Psychology Essay Example | Topics and Well Written Essays - 500 words - 2

Psychology - Essay Example They used many processed foods, which are high in calories and high in fat content (Mela, 2005). In addition, the accessibility and cheap prices of being able to buy these kinds of foods especially targets the middle and lower socioeconomic classes. This in turn can be related to the psychological component of stress and coping. Stress is when a person’s perceived demands outweigh their perceived coping resources. The way in which a person deals with the stress is referred to as coping, which can be split into maladaptive and adaptive coping strategies. Overeating and eating unhealthily are maladaptive ways of coping with stress. This can be induced by a wide variety of social and environmental factors. This overeating can lead to a variety of self-esteem issues and clinical disorders (Brannon, & Feist, 2010). Self-esteem is the appraisal of one’s self-worth. This is extremely important in the way in which an individual functions in society. In a society where perfectio n is a must, those that fall outside the norm, such as in weight, are often looked down upon in society. Increased advertising in weight loss programs and exercise programs adds to the stress of being overweight.

Prospects and Perception of Islamic Life Insurance

Prospects and Perception of Islamic Life Insurance Chapter 1 Introduction Background to study: Insurance is a financial industry which has surfaced as a colossal industry for both in Muslim and Non Muslin world. In Conventional Insurance there are many elements, activities and procedures which are considered unethical, unlawful and unislamic by majority of Islamic scholars. Elements such as uncertainty, gambling and excessive interest are the main culprits. (Khair Bakhsh, 2009). For the satisfaction of Muslim concern, market experts and Islamic scholars introduced an insurance with the name of Takaful.The increase in demand of Takaful system and the presence of large markets for its products is compelling the entitled authorities to introduce it in Pakistan as soon as possible. Problem Statement: What are the prospects and perception of Islamic life insurance in Peshawar? Purpose of the study: To review why convention system is prohibited in Islam To compare Islamic Life Insurance (Takaful) with Contemporary Life Insurance. To find out justification of an Islamic Life Insurance (Takaful) Analysis of prospects of Takaful in Peshawar City. Methodology Applied Research: In this research I will be studying existing Islamic life insurance system and adding no new finds to body of knowledge. Scheme of study Type of investigation: This is a descriptive study: The format, which will be followed in this study, is to find out justification of an Islamic Life Insurance and what are its prospects in Peshawar. Cross-sectional Data: In this research I will observe and study secondary data regarding Islamic Life Insurance and Conventional life Insurance system. Unit of Study: My research unit of analysis will be organization Study Settings: Field Study: Study will be done in natural settings in which variables will not be controlled. Researchers interference: In this study researchers interference will be minimal and has no direct interference with the Islamic life insurance organizations because I am not allowed to interfere in the organizations. Methodology: The methods I will be using in the report are both Primary and Secondary data collection. Secondary Data: For this research I will use secondary data. Sources: Internet Leading newspaper articles Books related to Islamic life Insurance (Takaful) Research instruments: The instruments which will be used in my research to collect primary data are: Observations Questionnaires. Sample Size: I will be distributing questionnaires. Sampling Techniques: The sampling technique will be simple random sampling that will help in reducing the biasness factor in the research. Limitations: The scope of my research will be limited to students of universities in Peshawar because of time and other limited resources. Scheme of the report: The report will consist of the following parts. Introduction Literature Review Findings Analysis Conclusion and Recommendations Literature survey Meaning of Takaful: Takaful is a form of mutual assistance (Taawun) strengthened by aiding the ones who are in problems and deserve to be helped.(Dr.Masum) (2009). According to him, Islamic Scholars have begun to accept and conclude to the viewpoint that Takaful is according to Shariah principles. Numerous Islamic conferences are being held and Shariah Councils are emphasizing by creating awareness amongst the Muslims that Takaful operations are free from unIslamic elements thus the development of Takaful in the market is to cater to the needs of Muslim by providing them products and services in accordance to Islam. â€Å"Overtime, greater understanding on the concept of Islamic Insurance has emerged as the concept of Takaful, based on the contract of Tabarru (donation) and Mudarabah profit sharing.† â€Å"Takaful is an alternative form of Conventional Insurance based on the concept of trusteeship and cooperation inspired by the beliefs of the followers of Islamic teachings. Murtaza Ali (2007). It can be concluded that takaful is an Islamic way of dealing with uncertainties via mutual assistance and it is social scheme developed on the principals of brotherhood, solidarity and mutual assistance. Takaful is rooted from an Arabic word Kafal, which means that ones needs should be taken care of. According to this scheme participants jointly agree to bind themselves against damages caused by hazards. â€Å"Takaful is a legally binding agreement between all the participants of the scheme to pay any of the members who suffers a loss as specified in the Takaful certificate†. (Dr.Masum)(2009). Muhaimin Iqbal (2005), Abdul Rahim, Wahab and Kabir Hassan explain Takaful as a scheme that is derived from the concept of Taawun and the concept of Takaful is similar to Conventional mutual risk sharing. Takaful has a fixed maturity period and is considered long term saving tool. Apart from giving benefits of return it also provides a mutual financial assistance among participants. â€Å"A Programme that pools efforts to help the needy in times of need due to immediate deaths or mishaps resulting in personal injury or disablement†. (Bank Negara Malaysia) Scholars like Dr.Yusof Qaradawi (July 2007) state â€Å"Our observation that the modern current practices are objectable Islamic ally does not mean that Islam is against Insurance: it only opposes the means and methods.† According to the author the Islamic insurance companies will use the contract of donations and provide compensation and the operation of the company shall not get engaged in any unislamic elements. HISTORICAL PERSPECTIVE; â€Å"Muslims were involved in Marine activities in the Mediterranean and Indian Ocean from the seventh century on†. Chaim-Vardit (2009).† â€Å"The rough model of Takaful was practiced by Arabian tribes, holding to the principal of pooled resources to help the needy on the voluntary basis† Masum Billah (2001). Tamim become the first insurance term in Arabic only in 20th century and it is believed that Ibn Abidin, a Hanafite Jurist who died in 1836,is the First Muslim to coin name Insurance Sukara (security) influenced by Italian term Siguare and Turkish Sigorta. Chaim-Vardit (2009). Merchants of Mecca used to form a group of Mutual funds with a purpose to help the victims or survivors of natural hazards during their commercial ventures into Syria, Iraq and other countries. Such a practice was supported and even contributions were made by Prophet Muhammad (P.B.U.H) while trading with the capital of Hazrat Khadija. Aziz-Abdul (2005) â€Å"The period lasting from the fall of Rome until the Dawn of Islam was the darkest, most corrupt and unsettled period in the known history to man. Hence the Dawn of Islam removed darkness from the face of life and brought the environment of security and stability to the areas which came under the influence of Islam.† According to Chaim-Vardit, Shariah recognizes several transactions and institutions which function in a way similar to certain type of Insurance. The typical ones are: Daman (guarantee) is synonymous to â€Å"Kafala† is used with risk or responsibility that one bears with regard to property of which one enjoys profit. Daman Khatar al Tariq (guarantee against travel hazards). In this type of transaction, the person himself wishes to be compensated for a future possible loss. Wala al Muwalat-This type of transaction was prohibited by Prophet Muhammad (P.B.U.H). The problem was this type of transaction established new ties, as strong as blood ties, outside the family was unbearable. Diya (blood money)-compensation to victim or victims family for unintentional killing or bodily injury. Mudaraba-is not mentioned in Quran and there is much doubt whether it is mentioned in Hadith Zakat-means growth and purity. It is often mentioned as equal to modern social Insurance and there have been modern attempts made in Islamic states as Saudi Arabia and Pakistan to apply Zakat. The institution of Waaf (endowment)-the property endowed as Waaf was intended to support the poor, staff of mosques, hospitals, to maintain city facilities and the two holy cities. Jizya-tax levied on non-Muslims residing in Islamic State and provides then with security for their lives and property. Holy Prophet (P.B.U.H) emphasised that a Muslim should protect itself from hazards and risks via transfering the risk through Takaful Model.The life of a muslim is Controlled and destiny by Allah (S.A.T) but it does not mean that a Muslim cannot protect itself but indeed a Muslim in Islam should gurad itself from misfortunes, hazards, risks and uncertanities.Dr.Masum (2001). Types of Takaful Structures: â€Å"There is no single â€Å"best† model that exists for takaful. Shariah scholars worldwide concur on fundamental components that characterize a takaful scheme, yet in their judicial opinions (fatwas), operational differences are tolerated as long as they do not contradict essential religious tenets.† Ms Shakun Ashoka Raj (2007). There has been a tremendous research done on the takaful models which includes work of prominent authors like Dr.Masum (2001), Hassan, Rahim and Wahab (May June 2007). According to Hassan, Rahim and Wahab (2007) for the Mudarabah contract to be allowed and carried in Islam requires a number of elements to be present: The capital provider (participant); The entrepreneur (takaful operator); Capital an appropriate activity; Profit and loss sharing and offer and acceptance. In the mudaraba contract, the two parties know as provider (rab ul maal) and the entrepreneur or takaful operator (mudarib) operates on a joint venture basis. †An investment on a Mudarabah basis of 100 should at the end of the period give more then 100 to be termed as profit and for the operators to share that.† The other takaful model is known as agency or wakala model. On the basis of this principal, a person delegates his right or business to the other people/person to act as his agent or wakil. The agent is responsible to contribute his knowledge, skills, and abilities in performing the tasks assigned to him in the best manner. According to Dr.Masum (2001) in the Wakala model the salary of the agent who rendered the services is subtracted against the fool of funds. The net funds will be used for the purpose of investment and profits will be distributed accordingly. Similarly author Rahim, Wahab and Hassan â€Å"Under a typical wakala model, the Tabarru (donation) remains the property of the participants unless consumed, as they have the right to receive the surplus back and therefore it becomes a conditional gift.† Tijari model (business) commonly uses both the pure Mudarabah and modified Mudarabah approaches. Dr.masum is of the opinion, that modified Mudarabah approach is used where deduction of expenses is taken into consideration and as result more expensive premium is charged from the participants in order to cover the operational expenses while on the other hand Pure mudarabah approach is used where there are no operational expenses charged. Waqf model-this model operates on non-profit basis that collects donation from individuals or firms who willingly want to contribute something positive to the society. Social organizations and enterprise are engaged in such type of activity. Shakun Ashoka Raj (2007). Concepts of beneficiaries in Takaful It is vital to test the beneficiary in the policy inorder to find that whether the beneficiary is the right person to be tranferred the benefits.In order to do so the following concepts are under taken : Al-Wasiyah (bequest) Al-Mirath (inheritance) Al-Milkiyah (ownership) In the Takaful Model if the policy holder outlives the policy duration then under such circumstances the policy holder is entitled for the benefits and he is the only owner but in Waqf model the sole owner is Allah (S.A.T) and no one can claim the property or benefits. Dr.Masum (2001). After death of the policy holder the following stages are inoccured before the distribution of benefits of the policy. Wealth heald by the policy holder is adding with total benefits If there are any debts left by the policy holder then from the total weath those debts are paid off . For the remaining the funeral expenses will be deducted. The remaining property or any thing left is disrtibuted under the principals of Al wasiyah and Al mirath. Al Wasiyah Under the islamic principal the policy holder can give away via will 1/3 of the property. This is to reduces injustice that may be caused by the policy holder by giving his benefits not to his legal heirs . Al Mirath After making payments of loan taken by Policy holder, excluding funeral expenses from the remaining property and cash left by the deceased and executing his will, the remaing benefits ,property and cash left is distributed among the legal heirs of the policy holder via Islamic methods. CONVENTIONAL LIFE INSURANCE INSURANCE: Insurance is a medium via which people transfer the burden of uncertainty (financial loss) to the insurer, for an agreed financial attention known as â€Å"Premium†. In return, the issuer promises to provide financial compensation to the insured for particular loss occurring. The clients of the policy are known as policyholders. Human life is exposed to risks of death and disability due to natural disasters and accidents. Property possessed by man is exposed to various man made and natural hazards. Simultaneously man himself is exposed to different diseases, deadly viruses, the cure for which involves huge expenses. A family might have to face serious financial and moral hazards as a human life is lost or a person is disabled temporarily or permanently. If an individuals property is damaged, it might result in decline in income of the individual. Life insurance gives protection to an individual during his/her lifetime and after his death too. So we can say that it is an agreement that guarantees the payment of agreed amount of monetary benefit to the insured. There are number of companies offering Life insurance policies. The more the time period of the policy the greater its benefit e.g. if a person purchases a policy for the period of 10 years, he will get its benefit after 10 years but if he dies during this time frame, his family will get its benefit. The insurance company reviews variables that are likely to affect the health and how long and individual lives after receiving an application by individual for life insurance policy. Actuarys Statistical Analysis is performed by a person know as â€Å"Actuary† who determines whether the individual is a good â€Å"risk† to insure. Insurance premium is calculated, the older an individual, the higher the life insurance premium to be paid. Insurance premium can also be higher if an individual has health issues like higher cholesterol. If the insurance company agrees to provide insurance the agent will deliver the life insurance contract. The contract will include: The amount of money to be paid when the policyholder dies. How long the contract lasts. The amount of premium that needs to be paid by the policyholder. The policyholder will need to name the beneficiary to whom the benefit of the policy will be transferred in the event of death of policyholder. HISTORICAL DEVELOPMENT OF INSURANCE: Insurance is as old as the development of human society. In a society there are two types of economies Money economy Natural economy. Natural economy is more old then the money economy where people form community to help each other. For example if the house of a person gets burnt, the community members will pool in funds and reconstruct the house. Money economy practiced the transfer or distribution of risk by the Chinese and the Babylonian traders in the 2nd and 3rd millennium B.C. Achaemenian monarchs of Iran were the first to insure their people and that process was registered in the governmental notary offices. Life Insurance primarily established to provide protection against risk and catastrophes to people who were dieing very early, people who were aged and people who as a result of accident were disabled. This was practiced made possible by sharing and transferring risk with other individuals of the society. The idea of insuring oneself against risk is as old is mankind. Early times in England, societies were formed. Relief to the family of members of the societies would be given by making little sum of payments, if the grains of the farmers were damaged. The first life insurance company was established in England in 1705 and named the Amicable Society for Perpetual Assistance. Life insurance developed from these small beginnings into colossal industry, which gives people sense of security they require to maintain financial stability, moral and faith against inflation, deflation, wars, boom, panic and all sort of devastation. Life insurance gives individuals sound financial back up to move forward as it is based on scientific principles. Life Insurance companies were the only companies to pay their dues fully and survive the crisis of recession while the banks and other investment companies failed to do so. The purpose of selling life insurance is to make sure that it provides fresh air to people to start a life. In the larger view the life insurance policy becomes the reason for the beneficiary to begin a new life. Life insurance does active saving, utilization of funds and reserves for hazards and opportunities. It is a medium of savings, protection and growth and it has given people peace of mind and financial soundness. TYPES OF LIFE INSURANCE There are many different classification of life insurance each satisfying different need of individuals. Life insurance can be broadly divided into two main types: Term Assurance Whole Life Assurance Term Assurance: It is the least expensive Insurance and is available in various forms. This form of insurance is opted if the individual cannot afford other types of insurance or when temporary protection is needed. The premium from this type of insurance is free from element of investment. Term Assurance policy in case of death of policy holder during the specified years is bounded to provide lump sum amount of agreed money but if the individual outlives, then in such circumstances the contract is ceased and no money is to be provided to the policyholder. Term Life Insurance policy lengths for: One-year term policy- promises to pay the beneficiaries of the policyholder the agreed amount of money if the insurer dies within one-year tem policy. Five years promises to pay the beneficiaries of the policyholder the agreed amount of money if the insurer dies within five-year term policy. Ten years, fifteen and twenty year term policy is also known as long term policy. TYPES OF TERM ASSURANCE: Renewable term life policy –In this term life policy, the policyholder automatically qualifies to continue the policy when the specified time of the policy ends. Non-Renewable term life policy- this term life policy, the policy holder does not automatically qualifies to continue the policy when the specified time of the policy ends instead the individual has to re-qualify for the policy by undergoing physical examination in order to determine the health condition. Convertible term life policy-In this type of term policy the insured has the choice to covert this type of policy into permanent life insurance policy into variable insurance, whole or universal life insurance. Non-Convertible term life policy- simply means that policyholder cannot switch the policy to another type life insurance policy. WHOLE LIFE INSURANCE: This policy last the whole (entire) life of the insured. If the policyholder stops paying the premium he/she can get the benefit paid till date. Because of this reason it is an expensive life insurance policy. For example the funeral policy in which expenses are covered for the funeral of the person passed away. Full payment for the policy is taken at the time of purchases of policy. Whole life insurance policy can be divided into two types: Ordinary Life Insurance Limited Payment Life Insurance Ordinary life insurance: It is also know as straight life insurance. In this type of insurance policy the insurer is give lifetime security. For example if the insurer is alive at 100, then he is to be paid the benefit if the policy or the agreed amount of money. Under this policy of life insurance the policyholder is charged high premiums in the start of the policy and charged less premium during the last years of the policy. The life insurance company invests the premium of the policyholder to accumulate a cash surrender value. The policyholder can withdraw from the policy by taking the cash value or borrowing cash value at lower interest rates. The cash value is relatively small in the start of the year and increases with years. LIMITED PAYMENT LIFE INSURANCE: This life insurance policy is also known as â€Å"limited pay life insurance† in which individual pays for the specific time period and enjoys the policy for the rest of his/her life. The face amount of the policy is paid tax free to the beneficiaries the policyholder mentioned. This face amount can be paid on monthly basis or in lump sum amount. If the Policyholder mentioned to make payment to the beneficiary on monthly basis then the policyholder has four options to choose from: Life Income-In this policy the beneficiary of the policyholder is paid on the monthly basis as long as the beneficiary lives. Fixed Period Income-In this type of policy, the policyholder asks the insurance company to pay the beneficiary after his death the proceeds in equal amount over the period of ten years. The years determined are dependent on the wish of the policyholder. Fixed Amount Income-In this type of policy the policy holder asks the insurance company that after his death the nominated beneficiary should be paid lets suppose Rs.1000 a month till the proceeds are exhausted Interest Options-In this the policy holder asks the insurance company that after his death the benefit of the policy should be reinvested by the insurance company and the interest from the investment made should be provided to the nominated beneficiary each year. OTHER FORMS OF LIFE INSURANCE: Endowment Life Insurance- This policy is for a specific time period. The face value is paid to the nominated beneficiary if the policyholder dies during the specific period but if he is alive then the policyholder is paid the benefit of the policy. Variable Life Insurance-This policy is for the whole life. The policyholder is given option to decide the amount he wants to invest in life insurance and the amount he wants to invest in other investment opportunities like buying stocks. It has a guaranteed death benefit, which is based on forecasted interest rates. Theses rates are not fixed indeed vary from company to company. Universal Life Insurance-This policy charges less premium in the start but does not provide death benefit or cash value as this policy is flexible in terms of premium payments and timing. Second To Die Life Insurance- This policy is designed for couples.(married).The benefit of the policy is provided to the heirs of the policyholders only when the surviving spouse dies. Juvenile Life Insurance-The purpose of this policy is to provide safeguard to the children. The guardian or the parent of the child purchases policy in order to secure the minor from mishaps. Modified Life Insurance Policy-In this life insurance policy higher premium are charged at the later years of the specified time. It is suitable for those individuals who believe that their salary/income will increase in the future. METHODS FOR PROVIDING LIFE INSURANCE PROTECTION: There are two methods that are actively used to provide life insurance to individuals. Annual Renewable Term Level Premium method Annual Renewable Term: This type of life insurance policy has overcome the challenge of insurability simply meaning that the policyholder can renew the policy without under going medical examination or providing sound health evidence. Because of poor health or other mishaps the insurer might not be allowed to renew the policy. So annual renewable policy (ART) ignores the insurability element, they simply pay the renewal premium. The policy period varies from 10 to 30 years and for the till the age of 95 mostly. In such policy the premium to be paid is much higher then other life insurance policies. The more the age the higher the premium to be paid and thus the greater the return on the policy. The premium is calculated by determining the death rate of each age group. For Example: A group of 1000 males (non-alcoholic) at the age of 40 wants to get a life insurance for $1000.The death rate of males at the age of 40 is .332% out of 1000.This means that the insurance company would have to pay $.3220 for the death claim. The insurance company would have to collect $.3.20 from each policyholder in order to cover the death claims. The yearly renewable insurance premium increases, as the individual gets older. Premium sharply rises during the later years, because as the age grows the death rate also grows. LEVEL PREMIUM METHOD: In this type of life insurance policy the premium remains the same for the agreed number of years. The time frame varies from 10, 15, 20 to 30 years. This life insurance policy provides insurance to age 100.If the insurer survives till the age of 100 then the face value of the policy is paid to the policyholder. The premium charger in the early age is higher in order to cover for the morality expenses. Level Premium method is also know as ‘Legal Reserve† because the money invested by the company is according to the state law. The state requires the company to maintain a minimum amount of liquid so that it is able to pay for the agreed claims. The legal reserve that the insurance company maintains is equal to the present value of the future death claims minus present value of future premiums. The main objective of the legal reserve is to provide lifetime security. The policyholder has an option to withdraw from the policy by just taking the cash value which is less then the legal reserve because of deductions of expenses like sales. UNISLAMIC ELEMENTS IN CONVENTIONAL LIFE INSURANCE Conventional insurance contains the elements that are unacceptable in Islam which include Riba Maisir Gharar Riba –also termed as interest, is present in conventional life insurance. Loans granted by companies are charged on interest. An insured upon his death receives greater then he has paid. This is not permissible in Islam. Insurance funds stocks/bonds contain the element of interest Those who eat riba (usury) will not stand (on the Day of Resurrection) except like the standing of a person beaten by Shaitan (Satan) leading him to insanity. That is because they say, Trading is only like riba or usury, whereas Allah has permitted trading and forbidden riba. So whosoever receives an admonition from his Lord and stops eating riba shall not be punished for the past; his case is for Allah (to judge): but whoever returns to riba, are dwellers of the Fire they will abide therein. â€Å"Al-Quran, Al-Baqarah (2). 275 Maisar- It refers to gambling or game of chance. Gambling of all forms/types is prohibited in Islam. The gambler tries to win mass wealth without making an effort. When the policyholder dies after only paying a small amount of premium his/her nominated beneficiary receives the benefit in term of monetary, which the policyholder has no idea where the amount has come from. Al-Maisir is referred to in the Quran as follows: O you who believe intoxicants (all kind of alcoholic drinks) and gambling, and Al-Ansab (ways for seeking luck) are an abomination of Shaitan (Satan). So avoid strictly all that (abomination) in order that you may be successful. Al-Quran, AI-Maidah (5): 90 Uncertainty -It is an element which is termed as gharar, is prohibited in Islam. In business terms gharar means undertaking business deals which are riskier and individuals do not posses sufficient knowledge about them. A contract which contains uncertainty due to: Occurring time is not known. The amount payable is not known. Whether the payment will be accepted as agreed. HARAM/HALAL-Islam does not allow individuals to invest money in unIslamic activities. Insurance companies may invest in bonds or tobacco companies or any unethical activity which is not permissible in Islam then taking insurance from such companies is considered haram. ISLAMIC LIFE INSURANCE The transaction of an Islamic life insurance system aims to protect the life of widows, orphans and the dependents of the deceased against future risks and hazards. It follows the principal of Al-Mudaraba financing. Under this principal the insured and insurer mutually agree to co-operate. The insured dependants are protected of future hazards as well as donations are made for the uplift of poor individual who face accidents in Islamic society. This concept was present and practiced during the times of Holy Prophet (P.B.U.H). In Islamic life Insurance policy the nominee is just acting as a trustee and is not considered the absolute beneficiary. The purpose/responsibility of the individual nomination (nominee) by the assured is to distribute the benefit to the heirs of the deceased under the principal pf Mirath and Wasiyah. In Islamic life insurance policies there are two situation in which the benefits of the policy are transferred i) the insurer can claim from the insurer the benefi ts if he outlives the time mentioned in the policy a) the paid premiums b) the profits made upon the paid premiums and c) the dividends/bonus made according to the company policy. In the other situation if the insured is not alive or passed away during the policy, the benefits are transferred to the nominee (selected by insured) and it is mandatory for the nominee to distribute the benefits of the policy among the heirs of the policyholder. The benefits include a) paid premium b) profits made on the paid premiums c) bonus/dividends make the company policy and d) donations from the companys charitable funds according to the policy selected by the assured. The benefits of the Islamic life insurance policy are not just claimed by individuals who face natural death/accidents but the benefit are also provided to people insured and passing in unlawful death example suicide/murders. The reason for that is life and death can only be det Prospects and Perception of Islamic Life Insurance Prospects and Perception of Islamic Life Insurance Chapter 1 Introduction Background to study: Insurance is a financial industry which has surfaced as a colossal industry for both in Muslim and Non Muslin world. In Conventional Insurance there are many elements, activities and procedures which are considered unethical, unlawful and unislamic by majority of Islamic scholars. Elements such as uncertainty, gambling and excessive interest are the main culprits. (Khair Bakhsh, 2009). For the satisfaction of Muslim concern, market experts and Islamic scholars introduced an insurance with the name of Takaful.The increase in demand of Takaful system and the presence of large markets for its products is compelling the entitled authorities to introduce it in Pakistan as soon as possible. Problem Statement: What are the prospects and perception of Islamic life insurance in Peshawar? Purpose of the study: To review why convention system is prohibited in Islam To compare Islamic Life Insurance (Takaful) with Contemporary Life Insurance. To find out justification of an Islamic Life Insurance (Takaful) Analysis of prospects of Takaful in Peshawar City. Methodology Applied Research: In this research I will be studying existing Islamic life insurance system and adding no new finds to body of knowledge. Scheme of study Type of investigation: This is a descriptive study: The format, which will be followed in this study, is to find out justification of an Islamic Life Insurance and what are its prospects in Peshawar. Cross-sectional Data: In this research I will observe and study secondary data regarding Islamic Life Insurance and Conventional life Insurance system. Unit of Study: My research unit of analysis will be organization Study Settings: Field Study: Study will be done in natural settings in which variables will not be controlled. Researchers interference: In this study researchers interference will be minimal and has no direct interference with the Islamic life insurance organizations because I am not allowed to interfere in the organizations. Methodology: The methods I will be using in the report are both Primary and Secondary data collection. Secondary Data: For this research I will use secondary data. Sources: Internet Leading newspaper articles Books related to Islamic life Insurance (Takaful) Research instruments: The instruments which will be used in my research to collect primary data are: Observations Questionnaires. Sample Size: I will be distributing questionnaires. Sampling Techniques: The sampling technique will be simple random sampling that will help in reducing the biasness factor in the research. Limitations: The scope of my research will be limited to students of universities in Peshawar because of time and other limited resources. Scheme of the report: The report will consist of the following parts. Introduction Literature Review Findings Analysis Conclusion and Recommendations Literature survey Meaning of Takaful: Takaful is a form of mutual assistance (Taawun) strengthened by aiding the ones who are in problems and deserve to be helped.(Dr.Masum) (2009). According to him, Islamic Scholars have begun to accept and conclude to the viewpoint that Takaful is according to Shariah principles. Numerous Islamic conferences are being held and Shariah Councils are emphasizing by creating awareness amongst the Muslims that Takaful operations are free from unIslamic elements thus the development of Takaful in the market is to cater to the needs of Muslim by providing them products and services in accordance to Islam. â€Å"Overtime, greater understanding on the concept of Islamic Insurance has emerged as the concept of Takaful, based on the contract of Tabarru (donation) and Mudarabah profit sharing.† â€Å"Takaful is an alternative form of Conventional Insurance based on the concept of trusteeship and cooperation inspired by the beliefs of the followers of Islamic teachings. Murtaza Ali (2007). It can be concluded that takaful is an Islamic way of dealing with uncertainties via mutual assistance and it is social scheme developed on the principals of brotherhood, solidarity and mutual assistance. Takaful is rooted from an Arabic word Kafal, which means that ones needs should be taken care of. According to this scheme participants jointly agree to bind themselves against damages caused by hazards. â€Å"Takaful is a legally binding agreement between all the participants of the scheme to pay any of the members who suffers a loss as specified in the Takaful certificate†. (Dr.Masum)(2009). Muhaimin Iqbal (2005), Abdul Rahim, Wahab and Kabir Hassan explain Takaful as a scheme that is derived from the concept of Taawun and the concept of Takaful is similar to Conventional mutual risk sharing. Takaful has a fixed maturity period and is considered long term saving tool. Apart from giving benefits of return it also provides a mutual financial assistance among participants. â€Å"A Programme that pools efforts to help the needy in times of need due to immediate deaths or mishaps resulting in personal injury or disablement†. (Bank Negara Malaysia) Scholars like Dr.Yusof Qaradawi (July 2007) state â€Å"Our observation that the modern current practices are objectable Islamic ally does not mean that Islam is against Insurance: it only opposes the means and methods.† According to the author the Islamic insurance companies will use the contract of donations and provide compensation and the operation of the company shall not get engaged in any unislamic elements. HISTORICAL PERSPECTIVE; â€Å"Muslims were involved in Marine activities in the Mediterranean and Indian Ocean from the seventh century on†. Chaim-Vardit (2009).† â€Å"The rough model of Takaful was practiced by Arabian tribes, holding to the principal of pooled resources to help the needy on the voluntary basis† Masum Billah (2001). Tamim become the first insurance term in Arabic only in 20th century and it is believed that Ibn Abidin, a Hanafite Jurist who died in 1836,is the First Muslim to coin name Insurance Sukara (security) influenced by Italian term Siguare and Turkish Sigorta. Chaim-Vardit (2009). Merchants of Mecca used to form a group of Mutual funds with a purpose to help the victims or survivors of natural hazards during their commercial ventures into Syria, Iraq and other countries. Such a practice was supported and even contributions were made by Prophet Muhammad (P.B.U.H) while trading with the capital of Hazrat Khadija. Aziz-Abdul (2005) â€Å"The period lasting from the fall of Rome until the Dawn of Islam was the darkest, most corrupt and unsettled period in the known history to man. Hence the Dawn of Islam removed darkness from the face of life and brought the environment of security and stability to the areas which came under the influence of Islam.† According to Chaim-Vardit, Shariah recognizes several transactions and institutions which function in a way similar to certain type of Insurance. The typical ones are: Daman (guarantee) is synonymous to â€Å"Kafala† is used with risk or responsibility that one bears with regard to property of which one enjoys profit. Daman Khatar al Tariq (guarantee against travel hazards). In this type of transaction, the person himself wishes to be compensated for a future possible loss. Wala al Muwalat-This type of transaction was prohibited by Prophet Muhammad (P.B.U.H). The problem was this type of transaction established new ties, as strong as blood ties, outside the family was unbearable. Diya (blood money)-compensation to victim or victims family for unintentional killing or bodily injury. Mudaraba-is not mentioned in Quran and there is much doubt whether it is mentioned in Hadith Zakat-means growth and purity. It is often mentioned as equal to modern social Insurance and there have been modern attempts made in Islamic states as Saudi Arabia and Pakistan to apply Zakat. The institution of Waaf (endowment)-the property endowed as Waaf was intended to support the poor, staff of mosques, hospitals, to maintain city facilities and the two holy cities. Jizya-tax levied on non-Muslims residing in Islamic State and provides then with security for their lives and property. Holy Prophet (P.B.U.H) emphasised that a Muslim should protect itself from hazards and risks via transfering the risk through Takaful Model.The life of a muslim is Controlled and destiny by Allah (S.A.T) but it does not mean that a Muslim cannot protect itself but indeed a Muslim in Islam should gurad itself from misfortunes, hazards, risks and uncertanities.Dr.Masum (2001). Types of Takaful Structures: â€Å"There is no single â€Å"best† model that exists for takaful. Shariah scholars worldwide concur on fundamental components that characterize a takaful scheme, yet in their judicial opinions (fatwas), operational differences are tolerated as long as they do not contradict essential religious tenets.† Ms Shakun Ashoka Raj (2007). There has been a tremendous research done on the takaful models which includes work of prominent authors like Dr.Masum (2001), Hassan, Rahim and Wahab (May June 2007). According to Hassan, Rahim and Wahab (2007) for the Mudarabah contract to be allowed and carried in Islam requires a number of elements to be present: The capital provider (participant); The entrepreneur (takaful operator); Capital an appropriate activity; Profit and loss sharing and offer and acceptance. In the mudaraba contract, the two parties know as provider (rab ul maal) and the entrepreneur or takaful operator (mudarib) operates on a joint venture basis. †An investment on a Mudarabah basis of 100 should at the end of the period give more then 100 to be termed as profit and for the operators to share that.† The other takaful model is known as agency or wakala model. On the basis of this principal, a person delegates his right or business to the other people/person to act as his agent or wakil. The agent is responsible to contribute his knowledge, skills, and abilities in performing the tasks assigned to him in the best manner. According to Dr.Masum (2001) in the Wakala model the salary of the agent who rendered the services is subtracted against the fool of funds. The net funds will be used for the purpose of investment and profits will be distributed accordingly. Similarly author Rahim, Wahab and Hassan â€Å"Under a typical wakala model, the Tabarru (donation) remains the property of the participants unless consumed, as they have the right to receive the surplus back and therefore it becomes a conditional gift.† Tijari model (business) commonly uses both the pure Mudarabah and modified Mudarabah approaches. Dr.masum is of the opinion, that modified Mudarabah approach is used where deduction of expenses is taken into consideration and as result more expensive premium is charged from the participants in order to cover the operational expenses while on the other hand Pure mudarabah approach is used where there are no operational expenses charged. Waqf model-this model operates on non-profit basis that collects donation from individuals or firms who willingly want to contribute something positive to the society. Social organizations and enterprise are engaged in such type of activity. Shakun Ashoka Raj (2007). Concepts of beneficiaries in Takaful It is vital to test the beneficiary in the policy inorder to find that whether the beneficiary is the right person to be tranferred the benefits.In order to do so the following concepts are under taken : Al-Wasiyah (bequest) Al-Mirath (inheritance) Al-Milkiyah (ownership) In the Takaful Model if the policy holder outlives the policy duration then under such circumstances the policy holder is entitled for the benefits and he is the only owner but in Waqf model the sole owner is Allah (S.A.T) and no one can claim the property or benefits. Dr.Masum (2001). After death of the policy holder the following stages are inoccured before the distribution of benefits of the policy. Wealth heald by the policy holder is adding with total benefits If there are any debts left by the policy holder then from the total weath those debts are paid off . For the remaining the funeral expenses will be deducted. The remaining property or any thing left is disrtibuted under the principals of Al wasiyah and Al mirath. Al Wasiyah Under the islamic principal the policy holder can give away via will 1/3 of the property. This is to reduces injustice that may be caused by the policy holder by giving his benefits not to his legal heirs . Al Mirath After making payments of loan taken by Policy holder, excluding funeral expenses from the remaining property and cash left by the deceased and executing his will, the remaing benefits ,property and cash left is distributed among the legal heirs of the policy holder via Islamic methods. CONVENTIONAL LIFE INSURANCE INSURANCE: Insurance is a medium via which people transfer the burden of uncertainty (financial loss) to the insurer, for an agreed financial attention known as â€Å"Premium†. In return, the issuer promises to provide financial compensation to the insured for particular loss occurring. The clients of the policy are known as policyholders. Human life is exposed to risks of death and disability due to natural disasters and accidents. Property possessed by man is exposed to various man made and natural hazards. Simultaneously man himself is exposed to different diseases, deadly viruses, the cure for which involves huge expenses. A family might have to face serious financial and moral hazards as a human life is lost or a person is disabled temporarily or permanently. If an individuals property is damaged, it might result in decline in income of the individual. Life insurance gives protection to an individual during his/her lifetime and after his death too. So we can say that it is an agreement that guarantees the payment of agreed amount of monetary benefit to the insured. There are number of companies offering Life insurance policies. The more the time period of the policy the greater its benefit e.g. if a person purchases a policy for the period of 10 years, he will get its benefit after 10 years but if he dies during this time frame, his family will get its benefit. The insurance company reviews variables that are likely to affect the health and how long and individual lives after receiving an application by individual for life insurance policy. Actuarys Statistical Analysis is performed by a person know as â€Å"Actuary† who determines whether the individual is a good â€Å"risk† to insure. Insurance premium is calculated, the older an individual, the higher the life insurance premium to be paid. Insurance premium can also be higher if an individual has health issues like higher cholesterol. If the insurance company agrees to provide insurance the agent will deliver the life insurance contract. The contract will include: The amount of money to be paid when the policyholder dies. How long the contract lasts. The amount of premium that needs to be paid by the policyholder. The policyholder will need to name the beneficiary to whom the benefit of the policy will be transferred in the event of death of policyholder. HISTORICAL DEVELOPMENT OF INSURANCE: Insurance is as old as the development of human society. In a society there are two types of economies Money economy Natural economy. Natural economy is more old then the money economy where people form community to help each other. For example if the house of a person gets burnt, the community members will pool in funds and reconstruct the house. Money economy practiced the transfer or distribution of risk by the Chinese and the Babylonian traders in the 2nd and 3rd millennium B.C. Achaemenian monarchs of Iran were the first to insure their people and that process was registered in the governmental notary offices. Life Insurance primarily established to provide protection against risk and catastrophes to people who were dieing very early, people who were aged and people who as a result of accident were disabled. This was practiced made possible by sharing and transferring risk with other individuals of the society. The idea of insuring oneself against risk is as old is mankind. Early times in England, societies were formed. Relief to the family of members of the societies would be given by making little sum of payments, if the grains of the farmers were damaged. The first life insurance company was established in England in 1705 and named the Amicable Society for Perpetual Assistance. Life insurance developed from these small beginnings into colossal industry, which gives people sense of security they require to maintain financial stability, moral and faith against inflation, deflation, wars, boom, panic and all sort of devastation. Life insurance gives individuals sound financial back up to move forward as it is based on scientific principles. Life Insurance companies were the only companies to pay their dues fully and survive the crisis of recession while the banks and other investment companies failed to do so. The purpose of selling life insurance is to make sure that it provides fresh air to people to start a life. In the larger view the life insurance policy becomes the reason for the beneficiary to begin a new life. Life insurance does active saving, utilization of funds and reserves for hazards and opportunities. It is a medium of savings, protection and growth and it has given people peace of mind and financial soundness. TYPES OF LIFE INSURANCE There are many different classification of life insurance each satisfying different need of individuals. Life insurance can be broadly divided into two main types: Term Assurance Whole Life Assurance Term Assurance: It is the least expensive Insurance and is available in various forms. This form of insurance is opted if the individual cannot afford other types of insurance or when temporary protection is needed. The premium from this type of insurance is free from element of investment. Term Assurance policy in case of death of policy holder during the specified years is bounded to provide lump sum amount of agreed money but if the individual outlives, then in such circumstances the contract is ceased and no money is to be provided to the policyholder. Term Life Insurance policy lengths for: One-year term policy- promises to pay the beneficiaries of the policyholder the agreed amount of money if the insurer dies within one-year tem policy. Five years promises to pay the beneficiaries of the policyholder the agreed amount of money if the insurer dies within five-year term policy. Ten years, fifteen and twenty year term policy is also known as long term policy. TYPES OF TERM ASSURANCE: Renewable term life policy –In this term life policy, the policyholder automatically qualifies to continue the policy when the specified time of the policy ends. Non-Renewable term life policy- this term life policy, the policy holder does not automatically qualifies to continue the policy when the specified time of the policy ends instead the individual has to re-qualify for the policy by undergoing physical examination in order to determine the health condition. Convertible term life policy-In this type of term policy the insured has the choice to covert this type of policy into permanent life insurance policy into variable insurance, whole or universal life insurance. Non-Convertible term life policy- simply means that policyholder cannot switch the policy to another type life insurance policy. WHOLE LIFE INSURANCE: This policy last the whole (entire) life of the insured. If the policyholder stops paying the premium he/she can get the benefit paid till date. Because of this reason it is an expensive life insurance policy. For example the funeral policy in which expenses are covered for the funeral of the person passed away. Full payment for the policy is taken at the time of purchases of policy. Whole life insurance policy can be divided into two types: Ordinary Life Insurance Limited Payment Life Insurance Ordinary life insurance: It is also know as straight life insurance. In this type of insurance policy the insurer is give lifetime security. For example if the insurer is alive at 100, then he is to be paid the benefit if the policy or the agreed amount of money. Under this policy of life insurance the policyholder is charged high premiums in the start of the policy and charged less premium during the last years of the policy. The life insurance company invests the premium of the policyholder to accumulate a cash surrender value. The policyholder can withdraw from the policy by taking the cash value or borrowing cash value at lower interest rates. The cash value is relatively small in the start of the year and increases with years. LIMITED PAYMENT LIFE INSURANCE: This life insurance policy is also known as â€Å"limited pay life insurance† in which individual pays for the specific time period and enjoys the policy for the rest of his/her life. The face amount of the policy is paid tax free to the beneficiaries the policyholder mentioned. This face amount can be paid on monthly basis or in lump sum amount. If the Policyholder mentioned to make payment to the beneficiary on monthly basis then the policyholder has four options to choose from: Life Income-In this policy the beneficiary of the policyholder is paid on the monthly basis as long as the beneficiary lives. Fixed Period Income-In this type of policy, the policyholder asks the insurance company to pay the beneficiary after his death the proceeds in equal amount over the period of ten years. The years determined are dependent on the wish of the policyholder. Fixed Amount Income-In this type of policy the policy holder asks the insurance company that after his death the nominated beneficiary should be paid lets suppose Rs.1000 a month till the proceeds are exhausted Interest Options-In this the policy holder asks the insurance company that after his death the benefit of the policy should be reinvested by the insurance company and the interest from the investment made should be provided to the nominated beneficiary each year. OTHER FORMS OF LIFE INSURANCE: Endowment Life Insurance- This policy is for a specific time period. The face value is paid to the nominated beneficiary if the policyholder dies during the specific period but if he is alive then the policyholder is paid the benefit of the policy. Variable Life Insurance-This policy is for the whole life. The policyholder is given option to decide the amount he wants to invest in life insurance and the amount he wants to invest in other investment opportunities like buying stocks. It has a guaranteed death benefit, which is based on forecasted interest rates. Theses rates are not fixed indeed vary from company to company. Universal Life Insurance-This policy charges less premium in the start but does not provide death benefit or cash value as this policy is flexible in terms of premium payments and timing. Second To Die Life Insurance- This policy is designed for couples.(married).The benefit of the policy is provided to the heirs of the policyholders only when the surviving spouse dies. Juvenile Life Insurance-The purpose of this policy is to provide safeguard to the children. The guardian or the parent of the child purchases policy in order to secure the minor from mishaps. Modified Life Insurance Policy-In this life insurance policy higher premium are charged at the later years of the specified time. It is suitable for those individuals who believe that their salary/income will increase in the future. METHODS FOR PROVIDING LIFE INSURANCE PROTECTION: There are two methods that are actively used to provide life insurance to individuals. Annual Renewable Term Level Premium method Annual Renewable Term: This type of life insurance policy has overcome the challenge of insurability simply meaning that the policyholder can renew the policy without under going medical examination or providing sound health evidence. Because of poor health or other mishaps the insurer might not be allowed to renew the policy. So annual renewable policy (ART) ignores the insurability element, they simply pay the renewal premium. The policy period varies from 10 to 30 years and for the till the age of 95 mostly. In such policy the premium to be paid is much higher then other life insurance policies. The more the age the higher the premium to be paid and thus the greater the return on the policy. The premium is calculated by determining the death rate of each age group. For Example: A group of 1000 males (non-alcoholic) at the age of 40 wants to get a life insurance for $1000.The death rate of males at the age of 40 is .332% out of 1000.This means that the insurance company would have to pay $.3220 for the death claim. The insurance company would have to collect $.3.20 from each policyholder in order to cover the death claims. The yearly renewable insurance premium increases, as the individual gets older. Premium sharply rises during the later years, because as the age grows the death rate also grows. LEVEL PREMIUM METHOD: In this type of life insurance policy the premium remains the same for the agreed number of years. The time frame varies from 10, 15, 20 to 30 years. This life insurance policy provides insurance to age 100.If the insurer survives till the age of 100 then the face value of the policy is paid to the policyholder. The premium charger in the early age is higher in order to cover for the morality expenses. Level Premium method is also know as ‘Legal Reserve† because the money invested by the company is according to the state law. The state requires the company to maintain a minimum amount of liquid so that it is able to pay for the agreed claims. The legal reserve that the insurance company maintains is equal to the present value of the future death claims minus present value of future premiums. The main objective of the legal reserve is to provide lifetime security. The policyholder has an option to withdraw from the policy by just taking the cash value which is less then the legal reserve because of deductions of expenses like sales. UNISLAMIC ELEMENTS IN CONVENTIONAL LIFE INSURANCE Conventional insurance contains the elements that are unacceptable in Islam which include Riba Maisir Gharar Riba –also termed as interest, is present in conventional life insurance. Loans granted by companies are charged on interest. An insured upon his death receives greater then he has paid. This is not permissible in Islam. Insurance funds stocks/bonds contain the element of interest Those who eat riba (usury) will not stand (on the Day of Resurrection) except like the standing of a person beaten by Shaitan (Satan) leading him to insanity. That is because they say, Trading is only like riba or usury, whereas Allah has permitted trading and forbidden riba. So whosoever receives an admonition from his Lord and stops eating riba shall not be punished for the past; his case is for Allah (to judge): but whoever returns to riba, are dwellers of the Fire they will abide therein. â€Å"Al-Quran, Al-Baqarah (2). 275 Maisar- It refers to gambling or game of chance. Gambling of all forms/types is prohibited in Islam. The gambler tries to win mass wealth without making an effort. When the policyholder dies after only paying a small amount of premium his/her nominated beneficiary receives the benefit in term of monetary, which the policyholder has no idea where the amount has come from. Al-Maisir is referred to in the Quran as follows: O you who believe intoxicants (all kind of alcoholic drinks) and gambling, and Al-Ansab (ways for seeking luck) are an abomination of Shaitan (Satan). So avoid strictly all that (abomination) in order that you may be successful. Al-Quran, AI-Maidah (5): 90 Uncertainty -It is an element which is termed as gharar, is prohibited in Islam. In business terms gharar means undertaking business deals which are riskier and individuals do not posses sufficient knowledge about them. A contract which contains uncertainty due to: Occurring time is not known. The amount payable is not known. Whether the payment will be accepted as agreed. HARAM/HALAL-Islam does not allow individuals to invest money in unIslamic activities. Insurance companies may invest in bonds or tobacco companies or any unethical activity which is not permissible in Islam then taking insurance from such companies is considered haram. ISLAMIC LIFE INSURANCE The transaction of an Islamic life insurance system aims to protect the life of widows, orphans and the dependents of the deceased against future risks and hazards. It follows the principal of Al-Mudaraba financing. Under this principal the insured and insurer mutually agree to co-operate. The insured dependants are protected of future hazards as well as donations are made for the uplift of poor individual who face accidents in Islamic society. This concept was present and practiced during the times of Holy Prophet (P.B.U.H). In Islamic life Insurance policy the nominee is just acting as a trustee and is not considered the absolute beneficiary. The purpose/responsibility of the individual nomination (nominee) by the assured is to distribute the benefit to the heirs of the deceased under the principal pf Mirath and Wasiyah. In Islamic life insurance policies there are two situation in which the benefits of the policy are transferred i) the insurer can claim from the insurer the benefi ts if he outlives the time mentioned in the policy a) the paid premiums b) the profits made upon the paid premiums and c) the dividends/bonus made according to the company policy. In the other situation if the insured is not alive or passed away during the policy, the benefits are transferred to the nominee (selected by insured) and it is mandatory for the nominee to distribute the benefits of the policy among the heirs of the policyholder. The benefits include a) paid premium b) profits made on the paid premiums c) bonus/dividends make the company policy and d) donations from the companys charitable funds according to the policy selected by the assured. The benefits of the Islamic life insurance policy are not just claimed by individuals who face natural death/accidents but the benefit are also provided to people insured and passing in unlawful death example suicide/murders. The reason for that is life and death can only be det