As Salaamu Alaikum Wa Rahmatullah Wa Barakaatuhu
Our honourable Scholar, may Allah increase your knowledge and elevate your status.
I wish to ask a question regarding the medical insurance given to the employee by his employer.
Is it obligatory upon the employer to cover the cost of medical treatment of his employee in the event of an accident that takes place during the working hours, due to the employee's negligence or due of the potential danger of the work place, e.g. a construction site?
If the employer is covered by insurance and he gets paid by the insurance company, is it permissible for the employee to take this money as compensation? Jazak Allah Khair.
From Yarib Awnak
Wa Alaikum Assalaam Wa Rahmatullah Wa Barakatuhu,
1. If there is an agreement between the employer and employee to be given medical insurance which is deducted from the wage of the employee, for the employee only or the employee and his family, then this is permitted.
This is because the original contract is an Ijara (lease) contract, and it is known.
This commitment to provide the medical cover to the employee and his family is a condition attached to the work contract. The conditions attached to contracts are permitted unless there is a statement that prohibits them, e.g. The condition permits a haram and prohibits a halal. A statement to permit the condition is not required, but what is required is the absence of the statement that prohibits it. I.e. it is not similar to actions, where in origin they are restricted and a statement is required to allow them.
Conditions attached to contracts are allowed except in the presence of a text that prohibits them.
On authority of Katheer Bin Amr Bin Auf Al Muzni, from his father, from his grandfather, that the Prophet صلى الله عليه وسلم said:
«وَالْمُسْلِمُونَ عَلَى شُرُوطِهِمْ إِلَّا شَرْطًا حَرَّمَ حَلَالًا أَوْ أَحَلَّ حَرَامًا»
"Muslims are committed to the conditions (in contracts) except conditions that prohibit the halal and permit the haram" narrated by Tirmithi.
This is from one side; on the other hand, it is actually part of the employee's wage which was deducted to pay for the medical treatment. Therefore, health insurance from the employer to the employee is permissible.
2. If the medical insurance contract is between the employer and the insurance company, and the company pays the employee in the event of injury during the working hours a specific amount, the employee is allowed to take this money.
As long as the employee does not sign the insurance contract and does not make his employer sign on his behalf.
The sin of taking the insurance from the insurance company is on the employer who signed the contract with the insurance company.
Ata Bin Khalil Abu Al-Rashtah
13 Rajab 1435 AH
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