“One large mutual insurance company does not issue a dividend rate because they believe that rate is not useful and in fact is more likely to be misused as it is just one of several variables that go into determining a dividend. Each company does it slightly differently”

Are dividends important? In today’s episode, Anthony and Cameron break down what a dividend is, if they are important, and what is important. Dividends are explained in the following terms:

• Underwriting Profits
• Investment Returns
• Administrative Costs

Resources: 

Q&A with the President of a Large Mutual Insurance Co 

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