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Search Fatawaa

Subject : It is Forbidden to Help Facilitate the Activities of Commercial Insurance Companies

Fatwa Number : 463

Date : 25-01-2010

Classified : Current Financial Issues

Fatwa Type : Search Fatawaa

Question :

What is the ruling of Sharia on working in the Insurance Commission, which supervises all types of insurance business in Jordan? 

The Answer :

All perfect praise be to Allah the Lord of the Worlds. May His peace and blessings be upon our Prophet Mohammad and upon all his family and companions.


According to the view of jurists and modern Fiqh academies, commercial insurance is haram (Forbidden), because it involves uncertainty and gambling. The evidence on this is that Allah The Most Exalted, Says (What means): "O ye who believe! Intoxicants and gambling, (dedication of) stones, and (divination by) arrows, are an abomination,- of Satan’s handwork: eschew such (abomination), that ye may prosper." {Al-Mai`da, 90}.

However, it is permissible to work in Islamic insurance because it is based on principles of solidarity, cooperation, and contribution whereas it isn`t permissible to work in commercial insurance because it rests on gambling and generating profit out of that.

If your (Asker) job in the Insurance Commission of Jordan directly supports the forbidden activities of the commercial insurance companies or regulates their business, then it is unlawful for you to help in that sin.

Still, if your work there is limited to supervising the inner workings of these companies and holding them to account in case of negligence or any shortcomings, then it is permissible. Moreover, this line of work involves a great deal of evil, so make sure that you forbid it and keep it to a minimum. And Allah The Almighty Knows Best.




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