When you are shopping for life insurance, it is important to know that there are several different types of life insurance companies. Mutual companies are owned by policyholders. Stock companies are owned by stockholders. Both of these types of companies return profits to the individuals who have ownership in the company. The last type of life insurance company is a fraternal benefit society.
Fraternal benefit societies are a group of members whose operations are solely for the mutual benefit of society members. Mutual benefit societies are non-profit organizations that bring together like-minded people. Financial products such as annuities, IRAs and life insurance are available through fraternal benefit societies. Catholic fraternal life insurance, with both whole life and term options, is available through the National Catholic Society of Foresters (NCSF).
All profits made from the sale of insurance are returned to members of NCSF through benefit programs including scholarships and grants and also to communities to help those in need. In addition to providing financial products, NCSF is engaged in philanthropy and charity work through local groups called courts, that are held in conjunction with, but separate from, local Catholic parishes. Choosing life insurance from a fraternal benefit society gets you the insurance coverage you need and also the association of a group of people interested in the common good.