Being paid out by another persons insurance
Q: John’s car collided with Zaid’s car injuring Zaid. John’s insurance company pays Zaid as compensation for his injuries. Is it permissible for Zaid to accept this payment and benefit from it — keeping in mind that insurance companies make money through gambling and interest?
A: Since they paid Zaid on behalf of John, Zaid is justified in taking the money.
And Allah Ta’ala (الله تعالى) knows best.
Checked & Approved:
Read these QA to learn more..
- I have made my life insurance for which I paid 100000 RS for 5 years but someone told me that it is against sharia to get insurance. Birla sun life insurance company have put my money in investment and my fund value is 565000 RS. I want to take my money out from the insurance company now my question is that profit of 65000 is valid and if it is not valid then can I take it from the insurance company and give to help my Muslim brother? If I pay it to my cousin who needs to get her kitchen done, can she use that money to build the kitchen?
- Assallamaliakum I am practicing as General Insurance surveyor & loss assessor & get fee paid by General Ins.Co (United India Ins., National Ins. Co.Ltd.,Relince Gen Ins Co., ets) My job involves to photograph the accident things ( Motor cars, Shops & some times human beings, animals, Poultry) & assess the loss technically & submit my report regarding which i am being paid as per the loss. I would like to know whether Islam permits my profession & earnings. General insurance basic concept for example one co .insures hundred cars & when loss occurs there loss will be monetarily reimbursed.
- These questions came to light after discussing them with ulema, who advise me to put forward these questions to Mufti Taqi Usmani sahib and inform them of the view of our beloved Mufti Sahib.1. In England to have car insurance is compulsory. Talking to ulema, they state that third party only is allowed. However discussing this with my friend, who is also an aalim, we wanted to know what if full comprehensive insurance is cheaper than third party insurance e.g. full comprehensive was £600.00 and third party was £1000.00, which happens sometimes. So even in this case would one have to buy third party Insurance or not? 2. When a person has an accident with another car, the insurance company of the other car owner pays a person out fully. The money that they pay is the market value of the car and not the actual value. For example I recently had an accident, the insurance company of the other person paid me out £2100.00 whereas I bought my car for the price of £1600.00. So would the extra money received in this case be jaa’iz (permissible) or haraam? Also I have heard that you cannot claim more than the amount you have paid to the insurance company. In case if the other person is not insured then my own company will pay me out. Would this money also be jaaiz? [Sajid Khan]
- Health Insurance provided by Company. Being working at public quoted company in Sri Lanka, I am entitle for some allowances and benefits which company provides for all its staff. Health Insurance Scheme also one of such benefit. Below are its basic features. 1)It is open to all employees under Staff Benefit theme. 2)In order to subscribe to this health insurance policy, company doesn?t deduct any amount from our salary since it is deemed as Staff Benefit. 3)Our company pays LKR 11,000 p.a. to Insurance Company as a premium for the policy. 4)If we hospitalized, the total claim would LKR 250,000 p.a. Out of which, first LKR 150,000 is paid by Insurance Company and balance LKR 100,000 is paid by my company itself. If I hospitalized, can I claim from this scheme? I am expecting FATWA from you please. Jaza-Kallahu Khaira.
- Someone I know has a life insurance policy that his/her parents set up before he/she was Muslim, and now I would like to know what he/she should do with it. It has an annuity which earns about $250 of interest per year. The premium on the life insurance policy is about $500 per year and is paid from the annuity. Both the life insurance and the annuity have cash values. He/She does not want to be involved in any kind of riba. One sheik advised him/her to sell it, but someone else told him/her it is not riba. He/She would like to know if this is haram wealth, if he/she needs to sell it or not, and if he/she sells it, how does he/she calculate what is riba and what is not? For example, if the $250 of interest is paid back to the company in the premium, then it would not be part of the cash value; however, if you consider that the premium was paid from the balance of the annuity, then he/she would have to take out the interest and (as the sheik told him/her) he/she could give it to the masjid to buy bathroom supplies. Should he/she consider the interest as part of the cash value or as part of the annual premium paid back to the company? Also he/she needs to pay zakat on it for the last 7 years. Should he/she calculate the zakat based on the cash values?
- Assalam-U-Alaikum. I am a doctor working with a health company who works for Insurance Companies. Our company has nothing to do with intrest business of insurance company. I only look into the patients hospitalisation claims and monitor the patients queries for medical/consultant treatment. I do not work on any intrest calculation or monitoring. We only take care of health insurance patients only assisting them for hospitalisation, taking treatment and helping them at the hospital. For this service we get paid by insurance companies a fixed fees. I want to ask, whether islam allows me to work in this health company.