Most-asked question
Is car insurance permissible when it is compulsory?
65 fatawa in the archive answer questions on this, from 4 South African Darul Iftas (AskImam, Mufti Online, Azaadville, Ibn Masood). Below, each Darul Ifta’s answer is quoted word for word from the opening of one of its fatawa.
Based on the fatawa linked below. Please read the sources and double-check with a Darul Ifta for your situation.
Consult a mufti for your situation. Fatawa SA is a read-only archive and issues no rulings of its own.
What the Darul Iftas say
“If taking out car insurance in your country is mandatory from the side of the government, it will be permissible for you to take out car insurance as well as claim from the insurance company at the time of an accident.”
“It is permissible to claim for damages from the Motor Insurance Bureau in view of the Bureau’s agreement with the Government to compensate victims of injustice in an accident.”
“Voluntary Third-Party Insurance on a motor vehicle is not permissible as it contains elements of interest and gambling which are forbidden in Shar’iah.”
“We assume from your query that you have no issue with the bank finance as it is in accordance to Shariah (according to you) but your issue is the insurance required by the financer.”
Quotes are the opening words of each answer as published; the full answer, its conditions and references are on the fatwa page. Answers depend on the exact details of each question.
Read the fatawa
- Being forced to take out insurance when buying a car on installments Mufti Online · 11 Nov 2025
- Claiming from a motor insurance bureau AskImam · 17 Jun 2023
- Takafol insurance when financing a motor vehicle Ibn Masood · 5 Mar 2022
- Mandatory Vehicle Insurance Azaadville · 26 Oct 2021
- Accepting a car which is insured as a gift Mufti Online · 23 Aug 2025
- Is personal life insurance permissible for a person who cannot get car insurance? AskImam · 24 Jan 2023
- Car Insurance Payout Included In Inheritance Azaadville · 3 Jul 2021
- Taking out third party insurance to get accredited to repair vehicles Mufti Online · 4 Feb 2023
- Is it permissible to take out Third party car insurance? AskImam · 15 Jan 2023
- Vehicle Insurance Azaadville · 16 Mar 2023
- Paying a penalty if one delays in paying an instalment and Takaful insurance when purchasing a car Mufti Online · 27 Jul 2021
- Car insurance in a country where it is optional (New Zealand) AskImam · 24 Feb 2022
- Third-Party Insurance On A Motor Vehicle Azaadville · 12 Feb 2022
- Mandatory car insurance Mufti Online · 15 Mar 2018
- Is it allowed in islam to earn money through selling car insurance? AskImam · 4 Sep 2020
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