AskImamDarul Iftaa Mahmudiyyah (AskImam)

Can you please tell me if the insurance schemes on the website below (particularly the travel insurance) are legitimately shariah compliant.

· 23 Rabiʻ I 1430 AH1 min readFatwa 17736English
Finance and Commerce

Question

Can you please tell me if the insurance schemes on the website below (particularly the travel insurance) are legitimately shariah compliant.

http://www.musliminsurance.com/TravelInsurance.aspx

Answer

In the name of Allah, Most Gracious, Most Merciful

Assalaamu `alaykum waRahmatullahi Wabarakatuh

We have browsed the link you have forwarded and cannot comment on the status of the product with certainty.

Nevertheless, the name Muslim Insurance is deceptive as the conventional insurance structure, value and purport is in stark contrast with Shariah. We have seen many other Takafol and insurance products with the same purpose as this company and found their products to be completely un-Islamic.

One should be careful and vigilant when dealings with such products. The world has realized that the Islamic Finance sector is a lucrative window for earning their fortunes. In this regard there are many opportunists in the market who use the name of Islam to enrich themselves and hoodwink simpleminded Muslims who do not understand the technical issues of business and trade.

We therefore strongly advise that the Muslim public should not fall prey to these artificial “Islamic” branded products. It is therefore imperative for laymen to consult with reliable, Allah fearing scholars who are not paid by these companies and do not fear or favour anyone when declaring Haqq before investing or financing through such companies.

And Allah knows best

Wassalamu Alaikum

Checked and Approved by:

Mufti Ebrahim Desai
Darul Iftaa

Checked & approved by
Mufti Ebrahim Desai
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