A business that collects premiums from policyholders and then often provides long-term financing for real estate development projects is a(n):

Question

Quizplus · Accepted Answer

This type of business is usually an insurance company that collects premiums from policyholders and uses the funds to provide long-term financing for real estate development projects. This is known as "unearned premium reserve" and helps insurance companies to balance their liabilities and investments. Commercial banks and credit unions also provide financing, but they do not typically collect premiums from policyholders for this purpose. Crown corporations, on the other hand, are government-owned corporations and may not be involved in the insurance or financing industries.

A Business That Collects Premiums from Policyholders and Then Often