Is L (Loews Corporation) Halal or Haram?

Based on our AAOIFI-standard shariah screening, L is Not Halal (Haram) and is not considered permissible for Muslim investors. It failed 3 of 4 compliance screens. Loews Corporation's core business activity was found to be non-compliant. Its debt-to-market-cap ratio of 41.54% exceeds the ≤33% threshold. Its cash & securities ratio of 37.48% exceeds the ≤33% threshold.

Loews Corporation is a diversified financial services company primarily engaged in commercial property and casualty insurance. Operating both in the US and internationally, the company provides specialty products like management liability, surety bonds, and workers' compensation coverage. For Muslim investors, Loews Corporation is considered Not Halal (Haram) and should be avoided. The stock fails the primary business activity screen due to its conventional insurance model, which contradicts Islamic finance principles, and it only passes one of the three financial ratio tests. From a financial perspective, the company's capital structure relies heavily on interest-bearing debt, with a debt-to-market cap ratio of 41.5%, failing the 33% AAOIFI limit. Furthermore, its cash and securities to market cap ratio sits at 37.5%, exceeding permissible levels, even though its interest income remains well below the 5% maximum. Conventional insurance is fundamentally incompatible with AAOIFI standards due to elements of gharar (uncertainty) and riba (interest) in the investment of premiums. Halal investors looking for exposure to risk management should seek out dedicated Takaful (Islamic insurance) providers instead. Loews Corporation operates in the Financial Services sector under the Insurance - Property & Casualty industry and is headquartered in New York City, NY, US. The company is led by CEO Benjamin J. Tisch and employs approximately 13,000 people.

L was screened using AAOIFI-based shariah compliance criteria. Four tests are applied: (1) Business Activity — the company's core business must not derive primary income from haram (prohibited) activities such as alcohol, gambling, tobacco, or interest-based finance. (2) Debt-to-Market-Cap — total debt must not exceed 33% of market capitalization. (3) Interest Income — interest income must not exceed 5% of total revenue. (4) Cash & Securities — cash and interest-bearing securities must not exceed 33% of market cap. L passed 1 of these 4 screens.

L was last screened on 2026-04-29. Shariah compliance status can change as companies report new financial data, acquire new businesses, or shift revenue streams. We recommend checking back periodically for the most up-to-date screening results.