Commercial insurance is prohibited in Islam due to its involvement in ambiguity, gambling, and Riba, all of which are forbidden in the Quran and Sunnah. Moreover, it leads to the unlawful consumption of wealth, imposes non-Shar’i obligations, and can cause harm to individuals and society.

Conclusion: Social insurance that is provided by the state is a kind of permissible insurance, and it is more akin to cooperative insurance. There is nothing wrong with joining it and benefitting from it, whether it is compulsory or voluntary. For more information on this topic, please see the following: Al-Ahkaam at-Taba‘iyyah li ‘Uqood at-Ta’meen by Dr Ahmad ibn Hamad al-Wanees At-Ta’meen at-Takaafuli al-Islami by Dr ‘Ali Muhyi ad-Deen al-Qurrah Daaghi Ma‘aalim at-Ta’meen al-Islami by Dr Saalih al-‘Ali and Dr Sameeh al-Hasan.  And Allah knows best.