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Business Definition for: stock insurance company
stock insurance company

insurance company that is owned by stockholders, as distinguished from a mutual company that is owned by policyholders . Even in a stock company, however, policyholders interests are ahead of shareholder's dividends.

stock insurance company

business owned by stockholders, as contrasted to a mutual insurance company , which is owned by its policyholders. Many major life insurers are mutual companies whereas some leading property/casualty and multiline insurers are stock insurance companies.

See also demutualization (stocking a mutual)
stock insurance company

group owned by stockholders to whom company earnings are paid in the form of shareholder dividends. Under state laws, however, the interest of policyholders takes precedence over stockholder interests.

Copyright © 2006, 2003, 1998, 1995, 1991, 1987, 1985 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2000, 1995, 1991, 1987 by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.
Copyright © 2007, 2000, 1997, 1987, by Barron's Educational Series, Inc. Reprinted by arrangement with Publisher.

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