Are the amounts collected at the end of service from the employees' private insurance fund, from which the fund benefits by depositing them in banks at a rate of 12.5%, halal or haram? And what is the solution if the monthly deduction continues upon withdrawal from the fund?
Source: FtawySummary from Ftawy's records · added here Sep 2, 2026
It is permissible for an employee to participate in the governmental retirement or insurance system if it is mandatory, and the additional amount paid by the state is considered a form of welfare from it. However, voluntary participation is not permissible because it involves gambling () and uncertainty (), and placing funds in usurious banks.
Summary from Ftawy's records · added here
Reviewed by El Fatwa's sharia committee.
Read the full answer on Ftawyhttps://ftawy.com/en/questions/19497
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 19497
- Added here
- . This is when the answer was added to El Fatwa, not the fatwa's date.
- Text
- Summary from Ftawy's records, reviewed by El Fatwa's sharia committee.
- Read the full ruling
- Read the full answer on Ftawy