Lori Simpson is thinking about purchasing some life insurance.She goes to a company where the policyholders are essentially the owners of the company.What type of life insurance company has she visited?

Question

Quizplus · Accepted Answer

Mutual insurance companies are owned by the policyholders, meaning that the policyholders have a say in the company's decisions and may receive dividends or profits from the company's operations. Stock insurance companies, on the other hand, are owned by investors who expect a return on their investment through the payment of dividends or an increase in stock value. Debt insurance companies are typically financial institutions that issue insurance policies as a part of their portfolio, and exclusionary and cooperative insurance companies are not commonly recognized types of insurance companies.

Lori Simpson Is Thinking About Purchasing Some Life Insurance