A corporation organized for the mutual benefit of its members is known as what?

A corporation organized for the mutual benefit of its members is classified as a fraternal benefit society. These organizations are unique in that they provide various benefits and insurance services to their members, who typically share a common bond, such as religion, culture, or profession. The primary goal of a fraternal benefit society is to offer financial and social support to its members rather than to generate profit, distinguishing them from other types of insurance companies.

In contrast, a stock company operates for profit, distributing earnings to shareholders, and a mutual insurance company is an entity owned by its policyholders, which also aims to provide insurance rather than community benefits. A private insurance organization can cover a broad range of structures but does not specifically denote the mutual benefit focus prevalent in fraternal organizations. Therefore, the distinction lies in the fraternal benefit society's emphasis on member welfare and community rather than corporate profit motives.