These types of insurance provide protection to both the borrower and the financing organization. They also guarantee the coverage of all or part of the repayment deadlines or the outstanding capital of a loan in the event of the occurrence of certain events.
Borrower insurance (or real estate financing/real estate credit insurance) is a guarantee taken out to cover a loan, whether it is real estate financing or consumer credit, in order to guarantee payment of the financing installments in the event that the borrower is unable to repay the entire outstanding capital.