Working in Company Dealing in Riba Transactions and Insurance
18-9-2002 | IslamWeb
Question:
I'm currently working as a Programmer in a company in USA. The company provides a warehousing service 'record keeping' where we keep records of different companies and process those record to generate reports and statements to the clients. There are more than one service in which the company functions. The first service involves the calculation of interest gained by the employee through their stocks, bonds etc. My Job requires me calculating this interest and sending it to the trustee 'Bank' that will issue payments to the employee based on my calculations. Considering this might be included in the Prophet’s, sallallaahu 'alayhi wa sallam, Hadeeth about Riba dealers and people who help in the Riba process. I will be transferring to a different department, which deals with health plans such as dental insurance, medical insurance, and life insurance.
I've been told that insurance is Haram so my question is:
My work for this company at this department that keeps and maintains the records of employee medical insurance is it Haram or not; keeping in mind that I will be processing transactions, Data Entry and reporting different plans. Also, is working in this company in general knowing it deals with Riba considered to be helping in Haram?
Answer:
All perfect praise be to Allah, The Lord of the Worlds. I testify that there is none worthy of worship except Allah, and that Muhammad 
is His slave and Messenger.
It is completely forbidden to help others in Riba (interest and/or usury) transactions as the Prophet said: “Allah has cursed the one who consumes Riba, the one who gives it to others, the one who records it and the one who witnesses it (its transaction).” He said: “All of them are equal in sin.” [Muslim]
As for insurance, it is a form of gambling. Allah, The Exalted, prohibits gambling in the Quran and called it al-Maysir (i.e. gamble and the linguistic origin of the word al-Maysir indicates that which comes easily).
Allah Says (what means): {O you who have believed, indeed, intoxicants, gambling, [sacrificing on] stone alters [to other than Allah], and divining arrows are but defilement from the work of Satan, so avoid it that you may be successful.} [Quran 5: 90]
The Scholars of Islam define insurance as follows: It is every contract that a person concludes as a winner or loser.
One exception of the above-stated concerning insurance is the cooperative insurance which is practiced in some Muslims countries.
Thus, since insurance is a form of gambling which Allah, The Exalted, has prohibited in the Quran and joined it with wine, it is forbidden to help in the transactions of insurance due to being a form of cooperation in sin and aggression.
Allah Says (what means): {And cooperate in righteousness and piety, but do not cooperate in sin and aggression. And fear Allah; indeed, Allah is severe in penalty.} [Quran 5: 2]
Therefore, it is forbidden to remain in this company if its activities are restricted to Riba and Maysir, and you have to look for another job.
Allah Says (what means): {And whoever fears Allah - He will make for him a way out. And will provide for him from where he does not expect. And whoever relies upon Allah - then He is sufficient for him.} [Quran 65: 2-3]
But, if this company runs many activities, some of which are forbidden and others are lawful, then you are allowed to run pure lawful activities only.
Allah knows best.