mutual insurance company

A mutual insurance company is owned by its policyholders rather than shareholders. When you buy a policy, you become a part-owner of the company, and any profits are typically returned to policyholders as dividends or used to improve coverage. Because of this structure, mutual insurers focus on serving their members' best interests, often emphasizing stable, customer-centered policies and competitive premiums. This setup aligns the company's success with the well-being of its policyholders, creating a mutually beneficial relationship where policyholders have a say in how the company is run.