Final answer:
Mutual insurance is based on mutual agreements among subscribers, where they collectively own the insurance company and contribute to a fund used for reimbursement upon financial losses. This is related to the concept of mutualism and is distinct from coinsurance, where losses are shared between policyholder and insurer.
Step-by-step explanation:
The type of insurance based on mutual agreements among subscribers is often referred to as mutual insurance. In this arrangement, policyholders collectively own the insurance company and contribute premiums into a common fund. If any subscriber suffers a financial loss from an event covered by the policy, the insurance entity utilizes this fund to remunerate the affected policyholder.
This concept aligns with mutualism, where individuals exchange services on the basis of mutually satisfactory contracts. The term coinsurance is related but different, as it involves the policyholder paying a percentage of a loss, with the remaining cost paid by the insurance company.