Reciprocity

{
  "id": "MLC-T-INS-002817",
  "term": "Reciprocity",
  "field": "Insurance and risk management",
  "definition": "An arrangement where a group of individuals or organizations, known as subscribers, agree to insure one another. These subscribers pool their risks and funds, managed by a central entity called an attorney-in-fact, which handles administrative tasks like collecting premiums and paying claims. Unlike a stock or mutual insurance company, a reciprocal exchange is unincorporated and owned by its policyholders.",
  "url": "https://mlchart.com/terminology/insurance/reciprocity/"
}