organization that is owned and operated by its members
Mutual organization A mutual exists with the purpose of raising funds from its membership or customers (collectively called its members), which can then be used to provide common services to all members of the organization or society. A mutual is therefore owned by, and run for the benefit of, its members - it has no external shareholders to pay in the form of dividends, and as such does not usually seek to maximize and make large profits or capital gains. Mutuals exist for the members to benefit from the services they provide and often do not pay income tax.[1]
Horizon Blue Cross Blue Shield of New Jersey It is a not-for-profit[1] health service corporation with a 15-member Board of Directors which governs the company for its members. There are no shareholders. Horizon Blue Cross Blue Shield of New Jersey is best known for their managed care and traditional indemnity plans for individuals and employers.