Financial Insurance

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Definition - What does Financial Insurance mean?

Financial insurance is a type of insurance policy that is frequently purchased by businesses. It provides coverage that protects them from losses due to a partner in a contract failing to meet their obligations. It can also protect against various other types of commercial financial losses.

Insuranceopedia explains Financial Insurance

In addition to mitigating against the financial consequences of a partner in a contract failing to meet their obligations, financial insurance also protects against various losses, including those from sudden, massive drops in the values of stocks or a business partner going bankrupt.


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