One of my friend works for Insurance company, his job is not directly involves with the haram activities. He is database administraor for the company. If I compare his job with the paper based system his job is more or less like a person who cleans those registers (which contains transactions). He copies them so that in case orignal gets lost company has a copy to go back to. These systems (registers and tools) are used by every one in the company and clients. The whole transaction and contract informations are stored in this system. Some times this person also have to do some development for the company (preparing registers, like putting linese and writting headings etc), some times also preparing reports as well.
It is not permissible to work at the insurance company even at the IT department as the salary will be from the income of the insurance company which comprises of interest and gambling. However, if the person does not have an alternate halal source of income, he will be excused to work there till he finds an alternate halal source of income.
and Allah Ta’ala Knows Best
Mufti Ebrahim Desai
FATWA DEPT.