Life & Health · Chapter 1 · Company Types

Reciprocal Insurer

Definition

Members (subscribers) agree to insure each other. Unincorporated but regulated. Managed day-to-day by an attorney-in-fact.

Exam tip

Who runs a reciprocal? The attorney-in-fact — not a board, underwriter, or the commissioner.

Easy to confuse with

These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.