Insurance Halal or Haram

Answered according to Hanafi Fiqh by ShariahBoard.org
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I own a home and two cars and I am dealing with following types of insurances:

1- Car insurance. Among the two types liability and full insurance which one is allowed?

2-Home insurance, I have to maintain insurance per my house loan requirements, what is shariah ruling

3- Medical insurance- I know there are ways to avoid medical insurance without penalties in tax. The question is whether it is halal or not. Some people do not take medical insurance and accept risk of large bills of medical expenses. What is shariah ruling?

Please guide in the light of Quran and Sunnah.


الجواب وباللہ التوفیق

There is room to have insurance in the countries where it is legally mandatory to have medical insurance or insurance for the vehicles, or home. But this should be borne in mind that the insurance due to being comprising of interest and gambling is in its origin impermissible and Haram. Therefore, if there is a need to have insurance due to legal compulsion then a person should only have this much insurance that one would avoid legal penalties.

 واللہ اعلم بالصواب

This answer was collected from Shariahboard.org. It was established under the supervision of the eminent faqih of our era, Hazrat Shah Mufti Mohammed Navalur Rahman damat barakatuhum.