What Is A Mutual Life Insurance Company? 
A mutual company is a company owned by the policyholder rather than stock holders . A mutual company will pay its excess profits back to the policy holder in the form of dividends . A stock company pays its dividends to the stock holders . While mutual companies premiums may be just a little more than a stock company , the cash value , because of dividends , can be far greater and more options are available within the policy . 