What is the ruling on life insurance that covers burial costs and leaves a sum for the family, especially if the company provides free insurance in case of death?
Source: FtawySummarized from the full answer at Ftawy · imported Sep 2, 2026
Commercial insurance is forbidden because it involves (excessive uncertainty/risk) and consuming people's wealth unlawfully, whether it is life insurance or other types. The amount paid by the company to the heirs gratuitously is an end-of-service bonus, which is permissible to take and poses no problem. This does not justify engaging in forbidden insurance.
Summarized from the full answer at Ftawy · imported
Read the full answer on Ftawyhttps://ftawy.com/en/questions/70028
Where this answer came from
- Source platform
- Ftawy
- Original fatwa ID
- 70028
- Imported
- Translation status
- Source text, unreviewed
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