I work in a MUSLIM company in France as sales assistant. I started this new job 3 months ago. This company subscribed an insurance which enables to ‘prevent’ outstanding payments risk. But they say they only use it to know if their future customers are solvent or not before they deliver the goods to them.
1. Is it Haram to subscribe to this insurance if the goal is only to know financial situation of a company (i.e. whether they are solvent or not) but not to be repaid in case of outstanding payment?
2. In case this insurance is in fact Haram and that I’m in the company but it is another muslim who do this task will I be responsible of what he does after telling them it is Haram? If I stay and someone else does this task of asking the insurance, is it a kind of supporting a sin? The director is convinced it is not Haram.
3. My company imports the goods they sell from Chinese suppliers. The goods are Halal but half part of time they use Documentary Letter of credit. Is L/C Halal or Haram ?
4. Is the money I earned from this company Halal? Please advise me should I leave this job and get rid off the money ?
In the name of Allah, Most Gracious, Most Merciful
Assalaamu `alaykum waRahmatullahi Wabarakatoh
1) The question regarding subscribing to insurance which reduces the risk of outstanding payments is unclear. Please provide further details.
2) It is permissible for you to work for the company if the company is trading in Halaal goods. You will not be sinful as you are not the one subscribing to the insurance.
3) It is permissible to secure one’s transaction with a letter of credit from the bank provided that no interest (Riba) is involved.
4) The money you earn by working for the company is permissible. There is no harm in continuing to work for the company.
And Allah knows best
Ml. Suhail Tarmahomed,
Student Darul Iftaa
Checked and Approved by:
Mufti Ebrahim Desai
Darul Iftaa, Madrassah In’aamiyyah