Going halal with your car insurance may not only save you money but leave you with the peace of mind that your insurance provider hasn’t sunk their investments in questionable enterprises such as pornography or gambling. The UK has had halal mortgage products on the market for a number of years, allowing Muslims to obtain a loan without having to incur interest charges. The mortgages allowed one to comply with the sharia rules, however with car insurance there are some differences.

“These new products are sharia compliant and the insurance works in exactly the same way as conventional policies” said Farrukh Raza of the Islamic Finance Advisory and Assurance Services. These policies operate under the principle of takaful, a form of risk sharing that allows the surplus to be returned to the customer in the way of discounts on their renewal. Knowing that the policy you have bought is sharia compliant allows the more conscious driver to invest in their driving without having to turn a blind eye to the insurer’s investments.