Do Insurance is Haram? 
  • "Insurance and birth control
    In the name of Allah, We praise Him, seek His help and ask for His forgiveness. Whoever Allah guides none can misguide, and whoever He allows to fall astray, none can guide them aright. We bear witness that there is none worthy of worship but Allah Alone, and we bear witness that Muhammad (saws) is His slave-servant and the seal of His Messengers.

    Your Question: Do Insurance is Haram? I am an Indian and always hear that banking, insurance, purchase on installment & bonds are Haram (forbidden).
    Allah says in the Holy Quran Chapter 2 Surah Baqarah verse 274-276:
    But those who devour riba become like the one whom Shaitaan has bewitched and maddened by his touch. They have been condemned to this condition because they say, Trade is just like riba, whereas Allah has made trade halaal and riba haraam. Henceforth, if one abstains from taking riba after receiving this admonition from his Lord, no legal action shall be taken against him regarding the riba he had devoured before: his case shall ultimately go to Allah. But if one repeats the same crime even after this, he shall go to Hell, where he shall abide for ever! Allah deprives riba of all blessing and develops charity, and Allah does not like an ungrateful, sinful person.

    Allah says further in the Holy Quran Chapter 2 Surah Baqarah verse 278:
    O Believers!, fear Allah and give up that riba which is still due to you, if you are true believers. But if you do not do so, then you are warned of the declaration of war against you by Allah and His Messenger!

    Allah says in the Holy Quran Chapter 4 Surah Nisa verse 161:
    That they took riba, although they were forbidden. And that they devoured mens substance wrongfully. We have prepared for those among them who reject faith a grievous punishment (of Hell Fire)!"