The insurance policyholder receives dividends from a participating policy. In essence, they are a form of risk sharing in which the insurer transfers some risk to policyholders.
What isn't an illustration of a substantial insurable interest?
You might think about getting a life insurance policy for your neighbor because she won't live long. You would not suffer a financial loss as a result of your neighbor's death, so there would not be an insurable interest in this case.
The term "lack of consideration" refers to a situation in which one of the parties to a contract is in no way obligated, while the other holds the entire obligation to act. In most cases, courts won't get in the way of parties to a contract.
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