Moneysupermarket.com lists Salaam Halal motor insurance

by Gill Montia

Story link: Moneysupermarket.com lists Salaam Halal motor insurance

Salaam Halal insurance, which claims to be the UK’s first Islamic motor insurance provider, is now listed by price comparison website, moneysupermarket.com.

The brand was launched in July 2008 by Principle Insurance with the aim of growing business among the 1.6 million Muslims living in Britain.

Policies are Sharia-compliant which means that the risk is spread between all policyholders registered with the company, whereas with conventional insurance, the risk is moved from the driver to the insurer.

Premiums are paid into a fund that is invested in enterprises that have practices acceptable to Islamic law and any surplus accrued in the fun is returned to policyholders at the end of the financial year in the form of a Participation Discount.

The firm says its is confident that non-Muslims will also be interested in its products because they are competitively priced and the Participation Discount is offset against the following year’s premium in addition to any No Claim Discount.

Moneysupermarket’s managing director for insurance and home services, Andy Leadbetter, sees Salaam Halal products sitting competitively in the site’s listings side by side with standard policies.

In recent years, the Islamic finance sector has been expanding rapidly in the UK which is now considered the leading centre for this kind of finance, outside the Middle East.