Credit insurance

{
  "id": "MLC-T-INS-003620",
  "term": "Credit insurance",
  "field": "Insurance and risk management",
  "definition": "A policy that protects a lender or seller against losses from a borrower's or buyer's failure to meet their debt obligations. Trade credit insurance covers accounts receivable for businesses selling goods on credit, while consumer credit insurance covers personal loans, mortgages, or credit card balances in case of the borrower's death, disability, or unemployment. The coverage pays off the outstanding debt or makes monthly payments on behalf of the insured debtor.",
  "url": "https://mlchart.com/terminology/insurance/credit-insurance/"
}