Takaful and insurance
Takaful is an Islamic alternative to insurance. UK options can be limited, and some cover is required by law or by your lender.
We haven’t published a side-by-side table of takaful providers yet, because we won’t publish details until they’re checked. Until then, this page explains what to look at.
What to look at
What you must have
Motor insurance is a legal requirement for driving in the UK. Home finance usually requires buildings cover too.
How takaful works
Members contribute to a shared pot that pays out to those who claim, run by an operator for a fee.
Who regulates it
Check that any provider is authorised to sell in the UK. The FCA Register shows who is.
What’s covered
Compare what’s covered and excluded, not just the price.
Life cover
Often comes up with home finance and young families. Ask a scholar you trust about your options, and check what your lender requires.
Surplus
Ask what happens to any money left in the pot. It’s one of the main differences from insurance.
The details
If no takaful option exists
Scholars take different views on conventional insurance where it’s required or where there’s no alternative. That’s a question for a scholar you trust, and don’t drop cover the law or your lender requires.
General information, not insurance advice. Some insurance is required by law or by your lender, so check what you must have before you cancel or change anything.