participating insurance

American  

noun

1. insurance in which the policyholders receive dividends and share in the surplus earnings of the company.

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participating insurance British  

noun

1. a system of insurance by which policyholders receive dividends from the company's profit or surplus

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Etymology

Origin of participating insurance

First recorded in 1950–55

Example Sentences

All are variations of five basic kinds of participating insurance: Straight Life Insurance, the industry's traditional bread-and-butter policy, which provides a lump-sum payment to a policyholder's beneficiaries upon his death�and at a relatively low premium.

From Time Magazine Archive