I have also wondered about the term al-jabr which ultimately became algebra. Re Please see Solomon Gandz (1926) The Origin of the Term “Algebra”, The American Mathematical Monthly, 33:9, 437-440, DOI: 10.1080/00029890.1926.11986615.
The author proposes an alternative and exactly notes your concern that al-jabr meant joining the broken parts. Gandz states that this word is not of Arabic origin and most likely it is Assyrian word.
here are still remnants in the mathematical literature suggesting that in olden times the term al-jabr alone was used for the science of equations, and the term al-jabriyyun was taken for the masters of algebra. ${ }^{1}$ On the other hand the term al-muqabalah alone, according to its real meaning of "putting face to face, confronting, equation,' seems to be the most appropriate name for equations in general. With these difficulties in mind, the writer undertook to search out the real meaning of jabara in the related Semitic languages. Now the Assyrian name gabr\hatu-mahâru means to be equal, to correspond, to confront, or to put two things face to face; see Delitzsch, Assyrisches Handwöterbuch, under gabru and maharu, pp. $193,401,$ and Muss-Arnolt, Assyrian Dictionary, under gabru and maxaru, $^{2}$ pp. $210,525 .$ From the first of these we have the etymology of the Hebrew geber and gibbor. Geber is the mature man leaving the state of boyhood and being equal in rank and ralue to the other men of the assembly or army. Gibbôr is the hero who is strong enough to fight and overcome his equals and rivals in the hostile army. Gabara $=j$ abar $a$, in its original Assyrian meaning, is therefore the corresponding name for the Arabic qabala (verbal noun muqabalah), and an appropriate name for equations in general.
The Egyptians $^{3}$ knew and wrote books on algebra as early as 1600 B.C., and it would be very strange if the Assyrians, having the same level of culture as the Egyptians and having close political and economic relations with them, were quite ignorant of this art. Gabr must have been the original Assyrian form of the word. The Arabs received this ancient science, with its original Assyrian name (in Arabic pronunciation al-jabr) from the Aramaeans and Syrians, who lived on Assyrian territory, and added the Arabic name al-muqabalah, which is nothing else than the literal Arabic translation of $a l$ jabr. This took place many hundreds of years before Mohammed ibn Musâ al-Kowârizmi. Later on the real meaning of the word was forgotten, and the simple meaning seems not to have been regarded as scholarly enough for good usage. The scholastic method at that time was common in both the philosophical and the theological schools. The scholars tried to find in the Bible, the Koran, and the old philosophical texts everything but the simple, plain meaning. The same method was followed towards these two mathematical terms. The masters simply declared them to signify the first two operations of algebra, namely the removal of the negative and positive quantities, without worrying much about philological reasons. This conception of the two words was already well known at the time of Mohammed ibn Musâ al Khowârizmî, and the latter used the terms in the traditional way without any further explanation, as shown by both Rosen and Ruska. For more than a thousand years this scholastic interpretation prevailed in the Arabic and European worlds. In reality, however, it would seem that the expression 'Ilm al-jabr w'al-muqabalah ought to be rendered simply as Science of equations, al-jabr being the Assyrian and al-muqabalah the Arabic name for equation.
His version seems plausible.