Q) Credit default swaps, commonly referred to as CDSs, are sometimes compared to purchasing insurance. However, the key difference between CDSs and insurance is

a) The protection buyer can switch to a different reference obligation should the seller agree, even after the initial reference entity defaults

b) CDSs are an open-ended contract with no fixed term

c) You do not need to own the asset to be long protection

d) Upon default, the protection buyer is not required to take any action and the contract is automatically honored by the protection seller