Is the mandatory insurance imposed by states on companies and employees to obtain health insurance and retirement benefits permissible (halal) or forbidden (haram)? And is it permissible for an employee to negotiate not to be insured in exchange for a higher salary? Are there any jurisprudential studies on this topic?

Social security is a non-profit insurance system managed and supervised by the state. It is funded by contributions from the insured individual, the state, and the employer, and provides compensation to the insured when due.

The permissibility of participating in and benefiting from this type of insurance is based on several reasons:

1. It is not for commercial profit; rather, its proceeds benefit the employees covered by the system, unlike commercial insurance which aims for profit. 2. It is considered part of the state's obligatory welfare for its citizens in cases of disability, old age, and illness. What the state pays is not considered usury or [excessive] risk [gharar], but rather a duty upon it. 3. It resembles cooperative insurance, which scholars have deemed permissible. The relationship is based on cooperation and mutual support, not on exchange and profiteering, and its aim is to achieve the public good. 4. This view is adopted by most contemporary scholars, and resolutions permitting it have been issued by Islamic Fiqh academies, including the resolution of the Islamic Research Academy and the Islamic Fiqh Council.