Question:

My husband is a sunni muslim. We have a small business. I'm a converted Muslim. We also have 3 small children. Because of his religion, he refuses to consider life insurance. If he were to pass away the business would still be running but not making much money if I were to hire someone to take his place. He also does not consider retirement savings is this Islamic too?

Sought clarification

Assalamu alaikum.

I empathize with your concerns. Can you please help me understand the background and perspective of your husband and why does he think that life insurance or retirement savings might be unislamic? Has he provided any basis or Islamic evidence/argument for such position?

These information would be helpful to answer your question. 
Awaiting clarification. Fi amanillah.

Clarification received

Walaikum Salam, The insurance companies may invest the money in haram businesses.

Answer

Assalamu alaikum.

Sorry about this delayed response as I was out of town.

Your husband's observation is valid, but the conclusions are inappropriate.

Practicing Islam means balancing various aspects of life's problem. Yes, avoiding haram businesses are important because those are haram. However, making arrangement for family and children, especially in case of unanticipated death of the breadwinner, IS an Islamic responsibility. Such responsibility is important in an ideal or functioning Islamic society.

In an unIslamic society, one must make even additional efforts to provide for the family so that they are not exposed to undue hardship in one's absence. While investing in haram businesses by insurance is a legitimate concern, it must be balanced with another Islamic injunction: helping family to become and remain independent even in one's absence. These priorities must be reconciled. One can't simply say that I'll avoid such and such, but I can't do anything about what happens if I die. Such is not an Islamic approach. That's why eating pork is haram, but it is also allowed if situation compels.

Unless the breadwinner has some arrangement through personal assets to provide reasonable support for a family in case of catastropic situation, one must consider various options.

Indeed, there are now Islamic products available in the market. For example, you can learn about it: Islamic insurance set to flourish in RI ( http://www.infobank-online.com/english/0897/section3.shtml ).

As far as contribution toward a retirement account, it is an well-established position now that generally it is Islamically permissible, especially in the socially responsible mutual funds, such as the one operated by Amana Mutual Fund. You can learn more about it at http://www.saturna.com/amana/ .

There are more such information. Let me know if I can be of further assistance.