FatwaFederal TerritoriesTransactions & Finance
AL-KAFI #1799: HUKUM JUAL BELI INSURANS KONVENSIONAL KERANA LEBIH MURAH
What is the ruling on selling conventional insurance to Muslims out of a wish to help them obtain cheaper coverage, and what is the ruling for Muslim sellers and contributors?
Short answer
Selling conventional insurance to Muslims is haram even when the intention is to help, because the transaction contains riba, gharar and gambling.
A reference, not a fatwa. First sentence of the summary below — read the original fatwa and consult your state authority before acting.
- Authority
- Federal Territories Mufti Office
- Date
- Status
- Opinion (irsyad)
- Series
- Al-Kafi li al-Fatawi
- Topic
- Transactions & Finance
No evidence of gazettement in the source — this is not a gazetted fatwa.
Summary
Selling conventional insurance to Muslims is haram even when the intention is to help, because the transaction contains riba, gharar and gambling. The prohibition applies to all parties directly involved, including the buyer or contributor. The higher price of takaful is not regarded as a necessity that permits what is forbidden, since takaful companies exist as a Shariah-compliant alternative.
Written in our own words from the original fatwa — check the source before acting on it.
Namun, menolong dengan cara menjual insurans konvensional kepadanya hukumnya haram dan tidak dibenarkan.
Read the full fatwa on the Federal Territories website (new tab)
How to cite
Cite the original fatwa and its authority. Rujuk Fatwa is only where you found it.
Federal Territories Mufti Office. “AL-KAFI #1799: HUKUM JUAL BELI INSURANS KONVENSIONAL KERANA LEBIH MURAH”, 27 May 2021. https://muftiwp.gov.my/ms/artikel/al-kafi-li-al-fatawi/4818-al-kafi-1799-hukum-jual-beli-insurans-konvensional-kerana-lebih-murah. Found via Rujuk Fatwa: https://rujukfatwa.com/en/fatwa/ruling-selling-conventional-insurance-because-cheaper/