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      Question

      The conversion of insurance companies from mutual

      companies owned by their policyholders into publicly traded stock companies is termed as?
      A Affinity sales Correct Answer Incorrect Answer
      B Demutualization Correct Answer Incorrect Answer
      C Annuitization Correct Answer Incorrect Answer
      D Fiduciary Correct Answer Incorrect Answer
      E None of these Correct Answer Incorrect Answer

      Solution

      Demutualization is when a mutual company owned by its members converts into a company owned by shareholders.

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