Stakeholder Participation in Public Policy of the Insurance Industry in Response to Takaful Institutions: A Systemic Model
Keywords:
Stakeholder participation, public policy, Takaful institution, insurance industry, system modelAbstract
This study aimed to design and validate a systemic model for stakeholder engagement in the public policymaking of Iran’s insurance industry in response to Takaful institutions. The research adopted a mixed-method (qualitative–quantitative) design implemented in two sequential phases. In the first phase, a systematic literature review was conducted across three key domains—stakeholder management, public policy in the insurance sector, and Takaful institutions—to develop an initial conceptual framework consisting of 12 main components and 36 operational indicators. In the second phase, a descriptive–survey approach was employed. Data were collected from managers, experts, and senior specialists in Iran’s insurance and Takaful sectors using a researcher-designed questionnaire. Content validity was confirmed by experts, while reliability was assessed using Cronbach’s alpha, composite reliability (CR), and average variance extracted (AVE). Data were analyzed using Structural Equation Modeling (SEM) via SmartPLS software. The model demonstrated satisfactory goodness of fit, with all constructs showing factor loadings above 0.7, Cronbach’s alpha and CR values above 0.7, and AVE values exceeding 0.5. The 12 key components identified were regulatory oversight, Sharia compliance, stakeholder awareness, financial structure, corporate interaction, Takaful development, public trust, institutional support, IT infrastructure, international market alignment, comparative regulation, and stakeholder participation. The findings highlighted that transparency, effective communication, adherence to Sharia principles, digital innovation, and international collaboration are crucial drivers of stakeholder engagement and the sustainability of the Takaful industry. The proposed systemic model provides an indigenous and comprehensive framework that can guide policymakers and insurance managers to strengthen stakeholder engagement and enhance the governance and sustainability of Takaful institutions.
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Copyright (c) 2025 Maryam Nateghi (Author); Naser Barkhordar; Ali Ostad Hashemi, Mehdi Hamzehpoor Asbforoshani (Author)
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.
