Answered by Shaykh Umer Mian
Question: Assalamu alaykum
I’m in the process of moving and will be renting out a moving truck shortly. The company has an option to purchase insurance so any potential damage to the moving truck can be waived.
Can you please let me know if getting an insurance for a moving truck would be okay based on the overwhelming hardship? I am not experienced in driving a large truck.
I feel this insurance will still be impermissible.
Answer: Wa alaikum as-salam wa rahmatullahi wa barakatuhu
You are correct that this form of insurance, like most all forms of commercial insurance prevalent today, is impermissible. For more detailed explanation, please see the articles below by Mufti Muhammad ibn Adam (may Allah preserve him).
Regarding your reference to “overwhelming hardship,” this question has been answered in article three cited above. Although you should read the entire article for full context and detailed explanation, the most relevant portion of the answer is as follows:
“…merely the fear of not being able to pay the full compensation will not legitimize something that is categorically unlawful such as insurance. Even if one was to take ‘the lesser of two evils’ it would have to be taking the risk of causing damage rather than insurance, for the former is something that is probable whilst the latter is unlawful for certain. Thus, insurance will not become permissible on grounds that one may cause excessive damage to another person’s car and not be able to pay for the damages.”
In addition, regarding car/truck rental, the following is stated in article two cited above:
“…the best way to avail from this type of insurance is that one stipulates in agreement with the company that the insurance paid be included in the rental fee for the car, and any damages to the car is considered to be excused by the car company. In this way, it seems that this type of insurance (where the car is in sole ownership of the company) be permissible.”
Therefore, if you are able to find a truck rental company that offers insurance coverage included in the rental fee, this would be a way out, in sha Allah. In the U.S., one moving company that offers such a service is Upack. Catastrophic coverage and limited carrier negligence coverage is included in the rental fee for their moving trailers, and they offer rates competitive with truck rental companies.
And Allah knows best.
[Shaykh] Umer Mian