mutual company

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A corporation in which members are the exclusive shareholders and the recipients of profits distributed as dividends in proportion to the business that such members did with the company.

The most common kind of mutual company is a mutual insurance company. In this type of organization, which is a cooperative association, the members are both the insurers and the insured. Such companies exist for the purpose of satisfying the insurance needs of their members at a minimal cost. The members contribute through a system of premiums or assessments, forming a fund from which all losses and liabilities are paid. Any profits are divided among the members of the company in amounts proportionate to their individual interests.

The members of a mutual company choose the management. Professional associations that offer their members insurance coverage often form mutual insurance companies.

See also: partnership

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Civil Rights Act of 1964 Fair Housing Act of 1968			Mitsui Life transformed itself from a mutual company to a stock firm in 2004 in a bid to raise funds more flexibly. Mitsui Life plans to expand capital base by 50 bil. yen by Japan Weekly Monitor Fifteen years ago, demutualization was being examined by many mutual company boards. Small world: the number of mutual life insurance companies is ... by Shapiro, Robert D. / Best's Review One of the advantages to a mutual company is the absence of shareholders, the report says. Mutuals Look to the Future by Risk & Insurance			musty mutabilis mutabilitas mutability mutable mutare mutate Mutation Mutation of libel Mutatis mutandis mute mutilare mutilate mutilated mutilation mutinous mutiny mutter mutual mutual accord mutual agreement mutual appreciation mutual assent mutual attraction mutual aversion mutual company mutual concern mutual concession mutual consideration mutual dependence mutual exchange mutual forgiveness mutual friendliness Mutual Fund mutual intercourse Mutual Mistake mutual ownership mutual pledge mutual profit mutual promise mutual relation mutual relationship mutual respect mutual sympathy mutual transfer mutual understanding mutual undertaking mutual wills mutuality mutuality of interest Mutuality of Obligation			Mutual association Mutual association Mutual Association of Real Estate Practitioners Mutual Associations Mutual Associations Mutual Assured Annoyance mutual assured destruction mutual assured destruction Mutual Atomic Energy Liability Underwriters Mutual Atomic Energy Reinsurance Pool Mutual Atomic Energy Reinsurance Pool Mutual Atomic Energy Reinsurance Pools mutual attraction Mutual Attraction Hormones mutual aversion Mutual bank Mutual bank Mutual Banks Mutual Banks Mutual Benefit Fund Mutual Benefit Insurance Company mutual branch Mutual Broadcasting System Mutual Broadcasting System MBS Mutual Building and Loan Association Mutual capacitance Mutual Climatic Range Mutual Coherence Function Mutual Companies Mutual Companies mutual company Mutual Concept Computer Group, Inc mutual concern mutual concession Mutual conductance mutual conductances mutual consideration Mutual Coupling Compensation Mutual Coupling Compensation Network Mutual Coupling Parameter Mutual Credit Union mutual deadlock Mutual Defence Pact Mutual Defense Administration. Committee Mutual Defense Assistance Act Mutual Defense Assistance Act Mutual Defense Assistance Agreements Mutual Defense Assistance Office Mutual Defense Assistance Program Mutual Defense Board Mutual Defense Network Mutual Defense Pact Militia Mutual Defense Treaty Mutual Deliquescence Relative Humidity Mutual dependence Mutual dependence Mutual dependence Mutual dependence Mutual Design and Implementation

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