Insurance and risk protection

Mutual insurers…

• Increase customer trust and accountability
• Give consumers more choice and increase competition in insurance markets
• Contribute to corporate plurality and diversity
• Promote economic resilience and sustainability

Increase customer trust and accountability

Because of their different purpose, mutual insurers help to increase customer trust and drive greater accountability.  Their members are their owners and they have a degree of influence over the way in which the insurer operates.

Give consumers more choice and increase competition in insurance markets

Mutual insurers provide additional choice in the marketplace. They do not pursue short term goals and are able to provide stability and consistency in a highly-developed market. They focus on delivering high-quality products, often designed with and for their customers/members.

Contribute to corporate plurality and diversity

Mutual insurers’ different business purpose permits them to pursue different business objectives which helps them contribute to corporate plurality and diversity. This contrasts with listed firms that require shareholder-led short and medium-term business strategies.

Promote economic resilience and sustainability

The evidence of the economic downturn is that mutuals and co-operatives have generally been more resilient than listed firms. Mutual insurers play an essential role in the global economy, especially in time of crisis, by combining profitability with solidarity; creating high-quality jobs; strengthening social; economic and regional cohesion; and generating social capital.