Advantages of the Mutual Insurance Holding Company Structure Reorganization is faster and costs significantly less than a full demutualization. Permits mergers with other mutual holding companies, while retaining the identity of both companies. Gives the company the flexibility to issue stock. Provides for organizational flexibility. Allows management to operate the company like a stock company before becoming public.
Outside shareholders can enforce a market discipline on the company.
No potential company takeover because the mutual holding company must always retain 51 percent of the voting stock. It has allowed each company to maintain its own identity and continue to operate independently. It also has allowed both companies to enhance customer service and maximize operating efficiencies by consolidating insurance administration, information services and operations into a single service center. Within the mutual holding company configuration, Ameritas Acacia Mutual Holding Company is the parent company and owns Ameritas Holding Company. Ameritas Holding Company, in turn, owns 100 percent of the stock of both Ameritas Life Insurance Corp. and Acacia Life Insurance Company.