Dr. Monzer Kahf, a prominent economist and counselor states: “The only thing that is Haram in software/banks matter is when one develops a software that is designed solely to be used to create interest-based contracts or part of them. If a program is general or if it has several potential uses, one of them is in crating interest contracts or a part therein such a program is permissible to create or develop although it remains prohibited to sell it to a person that you know will only use it for making interest-based contracts. It is like making kitchen knives, it is permissible to make and sell them provided you do not sell it to a person you very well know is going to use it to kill.

Insurance contracts are not unanimously agreed on as Haram and the prohibition for those who believe in it is based on Ijtihad, not on a text and there is no text that prohibit supporting insurance by software (while we have a correct Hadith that prohibits writing an interest contract or be a witness to it). This means that the rule is more relaxed especially that the Islamic insurance uses exactly the same soft programs used by the conventional insurance because the difference is in the legal form of the insurance provider not in the material structure of the contract. Hence, It is not Haram at all to produce software for insurance companies, Islamic and commercial. Furthermore, it is apparent that for those who preach that commercial insurance is permissible, I am one of them, it is permissible to produce and sell actuarial software and other general software to insurance companies. On the other hand, even for those scholars who argue that commercial insurance is not permissible, it is still permissible to produce such software but they may argue for disliking only (not prohibition because of lack of a text) the act of selling these programs to conventional insurance companies.”