An Introduction to Financial Sacrifice — Page 171
171 Insurance Insurance can only be lawful if it contains no element of interest or wager, otherwise it is illegal. In this regard, the following are the recommendations of Majlis- e-Ift a ’ , which were approved by Hadrat Khalifatul Masih III rh on 23 rd June 1980: “In light of the Fatawa of Hadrat Khalifatul Masih II ra , it is not at all permissible to get insurance from insurance companies unless all the agreements are free of interest and wager. These Fatawa are permanent and everlasting in nature. However, it is proper to investigate from time to time as to what extent these companies have rid themselves of interest and wager in result of changing laws and rules of conduct. Majlis-e-Ift a ’ has analyzed the current conduct of insurance companies in this regard and has reached the conclusion that, although it is not possible for a company to completely protect itself from interest due to the international financial system for the time being enforced, it is however possible for the policy holder and the insurance company to come to a mutual agreement which is free of interest and wager. There is, therefore, no harm in buying an insurance on the condition that the insurance holder will not receive any interest from the insurance company on his deposited amount. 163 The best procedure would be that the person who wishes to buy an insurance should first provide Majlis-e- Ift a ’ with all the information regarding it and get a Fatwa before signing for insurance. This will not apply if Insurance is compulsory in case of being a state employee or is compulsory due to some other circumstances. 163 Register Fai s lahj a t, Majlis Ift a ’ , Page 60.