In the case
of Compulsory insurance , whatever was paid in premiums eg 1000 rands a month .
10 years = 120 000 . 

If they pay
out 95 0000 on a claim , that’s less then what I paid to them , that monies I
can use to repair damages? 

Also note
this is an Islamic insurance company / policy ( takafol ) 

Answer: 

The insurance policy that you subscribed to due to financing a motor vehicle does not fall in the category of a compulsory insurance policy. Yes, if insuring one’s vehicle was a requirement by law then this would be considered as a compulsory insurance policy. However, you are entitled to claim back the amount that you contributed in the form of premiums; thus, in the queried scenario you are entitled to claim back the R95 000.00. Our Darul Ifta hasn’t approved on any insurance scheme whether Takafol or any other company.

And Allah Ta'aala knows best!

ANSWERED BY: Mufti Mohammed Desai 

CHECKED AND APPROVED BY: Mufti Muhammed Saeed Motara Saheb D.B 

Date: 13 Rabi-ul-Awwal 1441 

English Date: 11 November 2019