Fatwa ID: 04788
Answered by: Mufti Mohammed Tosir Miah
Question
I’ve just got a quick question regarding the Motability scheme. If the person is entitled to it would it be permissible to enter into this agreement?
In the name of Allah, the Most Beneficent, the Most Merciful.
Answer
The concept of the scheme seems to be permissible in terms of enabling disabled people to lease a car, powered wheelchair, or scooter simply by using their government-funded mobility allowances. However, the scheme involves a contract of insurance when leasing a car, etc… from them which in Islam is not allowed.
There are three reasons for the impermissibility of this:
- Interest
The Holy Prophet of Allah Sallallahu Alahi Wasalam has said, “To take one dirham of interest knowingly is worse than committing adultery 36 times.” (Mishkaatul-Masaabeeh p.246 v.1)
- There is an element of deception. The insurance contract contains uncertainty due to the amount being paid is not fixed and the time it will occur also being uncertain.
The Prophet of Allah Sallallahu Alahi Wasalam has “forbade deception and uncertainty in transactions.” (Sunan Tirmizi p.233 v.1)
- Gambling
Insurance policies require payment of money, thereafter if the following mishaps were to occur a payment would be made. This is a pure form of gambling. (Raddul Muhtar p.577 v.9)
However, having a breakdown cover with them is permissible. A car membership is different from insurance in that one pays for the service, which the company offers him. The money, which is being paid, is for the service. If one does not use their service during the course of the year, then payment still remains as one is paying for the service of them being there for you at any time.
The conclusion of your question is that if the insurance contract was not part of the scheme it will be permissible. Check to see whether such a condition of the scheme can be removed. If that is possible the scheme will be permissible.
Only Allah Knows Best
Written by Mufti Mohammed Tosir Miah
Darul Ifta Birmingham
