Question

How is insurance used to improve the credit profile of a borrower in financing structures?

a.

By guaranteeing cash flow

b.

By providing credit enhancements

c.

By offering credit wraps

d.

All of the above

Answer: (d).All of the above Explanation:Insurance is used in financing structures to improve the credit profile of a borrower by guaranteeing cash flow, providing credit enhancements, or offering credit wraps.

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Q. How is insurance used to improve the credit profile of a borrower in financing structures?

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