What is the definition of Dividend?

The Dividend is money paid to stakeholders (like policyholders) from the earnings of an insurance company. For other cases, it is a return on the investment of stockholders.

For life insurance policies, dividends are paid to policy owners of participating policies. This allows owners of participating policies to earn more from their policies. Life insurance companies also give policy owners options as to what to do with the dividends the policy earns. The policy owner can opt to get the dividends in cash payments, use the dividends to buy more insurance coverage, or "reinvest" the dividends so that it can earn more interest. The policy owner can withdraw the accumulated dividends at any point in the life of the policy.

• Difference in Conditions
• Assigned Risk Plans
• Assets
• Asset-Backed Securities
• Assignment