As it relates to automobile insurance, my brothers and sisters, even in the muslim lands there are rules that have required automobile insurance, yet the scholars of Islaam hold firm that automobile insurance is not permissible and they say even the muslim governments require you to have automobile insurance – then one of two options either refuse and prepare to face whatever penalty they put upon you or give in under the laws of coercion in Islaam that you are forced you can not live without this thing but you are only allowed brothers you are only allowed to take the bare minimum that is required from you. In the state of Pennsylvania that means liability and that liability insurance (third party insurance) which means you cover the car you hit or the property that you destroy and you do not cover your own car. You cover the other person’s car in the accident or the other property that is damaged and then that liability insurance has different levels of how much is covered they are called tiers. So take your Islaam, take your Tawheed, take your Sunnah into the place you purchase your automobile insurance. If you are unable to avoid it and practice your religion and tell them “I’m muslim and this is not permissible for me so in this case of being forced by law I’m only allowed to take the minimum” and tell them “I want the lowest tier of liability insurance”. You will save money and you will keep yourself out of impermissible transactions of ميسر

Source: Gambling – From Casinos to Car Insurance – Moosa Richardson [Audio|En]

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