Resolutions of Iftaa' Board



Resolutions of Iftaa' Board

Resolution No.(46): "Forms of Dealing with Islamic Insurance Company"

Date Added : 02-11-2015

Resolution No.(46): "Forms of Dealing with Islamic Insurance Company"
Date: 2001 AD

The Board has received the following question: 

What is the ruling of Sharia on dealing with the Islamic Insurance Company?

Answer: All success is attributed to Allah.

Having reviewed the forms of transaction applied in the Islamic Insurance Company and its corporate charter, it became clear to the Board that these forms are based on the system of cooperative insurance, which is permissible in Sharia. However, the transaction of the above company is also based on reinsuring with private commercial reinsurance companies, which don`t adhere to the rules of Sharia. However, since Islamic insurance companies are obliged to reinsure with these companies to be able to operate in the insurance sector, then the situation will remain as such until Islamic reinsurance companies are established.

Consequently, reinsurance and, the case aforementioned, are considered a need tantamount to a necessity, and the Muslim scholars have stated that a need is that whose non-fulfillment leads to hardship, whether that need was public i.e. includes the whole nation or private i.e. includes a certain category such as the people of a country or a craft. Private here doesn`t refer to individual need. Therefore, it is permissible to deal with these reinsurance companies so long as there is a need for that, and within the above rules.

On its part, the Board recommends that Islamic insurance companies do their best to find international Islamic reinsurance companies so that the permissibility of dealing with the above commercial companies becomes based on a pressing necessity. The Board also demands the Legal Supervisory Department to make sure that reinsuring with commercial companies is resorted to when there is a certain need for doing so. And Allah Knows Best.

 

Iftaa` Board

Chairman of the Iftaa` Board, Chief Justice, Izz Al-Deen Al-Tamimi

 Dr. Mohammad Abu Yahia

Dr. Abdulsalam Al-Abbadi

   Dr. Yousef Gheezaan

    Dr. Umar Al-Ashkhaar

  Sheikh Saeid Hijjawi

        Sheikh Na`eim Mijahid   

Dr. Wasif Al- Bakhri

 

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Summarized Fatawaa

Is Zakah (obligatory charity) obligatory on indebted merchant?

Debt doesn`t abrogate the dueness of Zakah, thus a debtor who has money, articles of merchandise, or other Zakah funds at his disposal should pay their Zakah.

Is it permissible for a woman to perform the obligatory prayer immediately after the adhan and before the Iqamah is performed in the mosque?

 

Praise be to Allah, and peace and blessings be upon our Master, the Messenger of Allah.
 
Yes, it is permissible for a woman to perform the obligatory (Fard) prayer immediately after the Adhan (call to prayer) and before the Iqamah (call to commence prayer) is performed in the mosque. And Allah the Exalted knows best.

What is the ruling of Islamic Law regarding one who slaughters a ewe and it turns out to have been pregnant, and is it permissible to slaughter the ewe if one knows it is pregnant?

Praise be to Allah, and peace and blessings upon our master, the Messenger of Allah.
If a person slaughters a ewe and it turns out to have been pregnant, the fetus becomes lawful (ḥalāl) by virtue of its mother's slaughter (tabaʿan li-ummihā).
It is stated in Mughnī al-Muḥtāj (Vol.6/P.158): "A fetus found dead [after the mother's slaughter], or found alive but in a state resembling that of a slaughtered animal [i.e., dying shortly after], becomes lawful — whether or not it had grown fur — provided it is found in the womb of a mother that was lawfully slaughtered, whether her slaughter was by cutting the throat, or by an arrow or hunting dog sent after her. This is based on the ḥadīth: 'The slaughtering of the fetus is [effected by] the slaughtering of its mother' [narrated by al-Tirmidhī, who graded it ḥasan, and by Ibn Ḥibbān, who graded it ṣaḥīḥ] — meaning that the slaughter which rendered the mother lawful renders the fetus lawful as well, by virtue of following her; and because the fetus is one of her constituent parts, and her slaughter renders lawful all of her parts."
This ruling differs, however, from the case of one who knows from the outset that the ewe is pregnant [and intends to sacrifice her specifically as the udḥiyah while pregnant] — in which case, according to the Shāfi'ī school, she does not fulfill the requirement of a valid sacrifice.
It is stated in Ḥāshiyat al-Bujayrimī 'alā al-Khaṭīb (Vol.4/P.335): "A pregnant animal does not fulfill the requirement [of a valid sacrifice], and this is the authoritative position (al-mu'tamad), because pregnancy diminishes the quality of the meat. As for why such an animal is nevertheless counted as complete [i.e., fully valid] in matters of zakāh, that is because the intent there is reproduction (nasl), not the quality of the meat.". And Allah, the Most High, knows best.

How is the niṣāb (minimum threshold) of gold calculated when one owns gold of multiple different karats?

All praise is due to Allah, and peace and blessings be upon our master, the Messenger of Allah ﷺ.
Zakāh is obligatory on cash and on gold designated for saving or for trade, provided the total reaches the niṣāb (minimum threshold liable for Zakah), and a full ḥawl (lunar year) has elapsed over it. The niṣāb is (85) grams of 24-karat gold; for 21-karat gold, the niṣāb equals (97) grams; and for 18-karat gold, it equals (113) grams.
If one owns gold of multiple different karats, the person paying zakāh should calculate the monetary value of all the gold he owns, combining these values together to determine whether the total reaches the niṣāb. He then pays zakāh on this combined monetary value, once the total reaches the niṣāb. The relied-upon position is to calculate the zakāh based on the buying price [i.e., the price the gold merchant would pay the owner to purchase the gold from him] on the day the zakāh obligation is due. And Allah, the Exalted, knows best.