The Concept and Development of Insurance in Islamic Countries
Traces the history of insurance in Islamic law. Explains that insurance has unlawful been considered on two grounds: (i) it pertains to the kind of contracts involving gharar; (ii) it involves ribä. But in the late 19th and early 20th centuries some Muslim scholars have argued for its permissibility. The argument: parties are free to make a Contract with a lawful content. Insurance does not involve an unlawful content. Moreover, if is a mechanism of cooperation. Similarly, interest in insurance is also not riba. For jurists. Based on primary sources. Documented.