Sentences with phrase «make a profit on policyholders»

Moreover, as they require a higher premium payment, the insurer stands to make a profit on policyholders who never become disabled and claim their benefits.

Not exact matches

Then the life insurance company has to make enough profit to sustain its business model, which is 100 % based on maximizing value and profits and dividends for their stock shareholders; and not policyholders (you).

Mutual life insurance companies are owned by the policyholders and dividends are generally paid to the the policy holders on profits the company makes which can increase the value of the permanent policy; however, stock based life insurance companies (e.g. Allstate) pay these dividends to their share holders instead.

Being a transparent policy, it would keep the policyholder well informed on the costs incurred and profits made.