Question

Why do many banks and financial institutions insist on property insurance?

a.

To generate additional income

b.

To discourage customers from seeking loans

c.

To increase insurance premiums

d.

To protect their collateral security

Answer: (d).To protect their collateral security Explanation:Many banks and financial institutions insist on property insurance to protect their collateral security.

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Q. Why do many banks and financial institutions insist on property insurance?

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