Insurance Policy

Answered according to Hanafi Fiqh by
I did an insurance policy in 2014 for 10 years , every year I need to pay a premium of 35k, last year I got to know that is haram and I wanted to get myself out of that. But if I opt out now, I will lose 80% of my money. Will I be getting sin for continuing that policy. Should I just stop paying the premium? What should be my approach in this matter?

بسم الله الرحمن الرحيم

(Fatwa: 725/598/D=9/1438)

In case you opt out the policy you would have to bear the loss of 80% money then in order to save your money you may continue to pay the premium. But when you get the total amount then you should use only the amount equal to the amount which you have paid and give the extra amount which you receive on the policy to the poor and needy ones without the intention of reward as it is the amount of interest and gambling. However, if you bear the loss of 80% and come out of the policy right now then it is far better.

Allah knows Best!

Darul Ifta,
Darul Uloom Deoband

This answer was collected from the official ifta website of Darul Uloom Deoband in India.

Find more answers indexed from:
Read more answers with similar topics:
Subscribe to IslamQA Weekly Newsletter

Subscribe to IslamQA Weekly Newsletter

You will receive 5 Q&A in your inbox every week

We have sent a confirmation to you. Please check the and confirm your subscription. Thank you!