(d) The mixed-company model does not make the insurance a gift or grant from the state to its beneficiaries. Rather, the state merely joins them as a partner, offering protection and support while recognising that they themselves are the real stakeholders. This is a more positive stance: it allows the contributors to feel the state’s involvement without at the same time relieving them of responsibility.

The Council holds that, when drafting the detailed articles for the implementation of cooperative insurance, the following principles must be observed:

First: The cooperative-insurance organisation should have a headquarters with branches in every city. Within the organisation there should be departments divided both according to the risks to be covered and according to the various categories and occupations of the contributors—for example, a health-insurance department, another for disability and old-age insurance, and so on. Alternatively, there could be a department for street vendors, another for merchants, a third for students, and a fourth for the self-employed such as engineers, physicians, and lawyers, etc.

Second: The cooperative-insurance organisation must be highly flexible and avoid complicated procedures.

Third: The organisation should have a supreme council that sets work plans and proposes the necessary bylaws and resolutions, which become binding once they conform to the rules of the Sharia.

Fourth: The government shall appoint one of the members of this council as its representative, while the contributors shall choose their own representatives to serve on the council. This will facilitate governmental oversight, reassure the authorities of the sound conduct of the organisation, and protect it from manipulation or failure.

Fifth: If the risks exceed the resources of the fund to the extent that premiums need to be increased, the state and the participants shall together bear the additional amount.

The Council of the Fiqh Academy endorses what the Council of Senior Scholars has proposed in