Most of the funds that insurance companies receive from premiums are invested in short-run money market securities.

Name: Most of the funds that insurance companies receive from premiums are invested in short-run money market securities.
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Insurance companies typically invest the majority of their funds from premiums in long-term assets, such as bonds, stocks, and real estate, rather than short-run money market securities, to match their long-term liabilities.

Most of the Funds That Insurance Companies Receive from Premiums