What Does Participating Policy Mean?

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What does Participating Policy mean? Read on to discover the definition & meaning of the term Participating Policy - to help you better understand the language used in insurance policies.

Participating Policy

Participating Policy

An insurance policy that allows the insured to receive policyholder dividends, not taxable distributions that is, return of profits not treated as income by the Internal Revenue Service (IRS) but instead as return of premium.

We hope the you have a better understanding of the meaning of Participating Policy.

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