House Mortgage And Riba
All mortgage contracts in my knowledge include a clause which makes the borrower responsible for carrying an insurance policy. If the borrower does not buy a policy or the policy lapses, the bank buys a policy on the borrower’s behalf and sends them a bill. In case of a disaster the insurance company is liable to make any repairs, not the bank or the borrower. This is a very just arrangement in my opinion. Also as Irfan sahab stated, it is not a valid basis to consider mortgage as riba. Appreciation of house value can happen even without a mortgage and it again is not a valid basis to consider mortgage as riba.