Occurrence Policy
A liability insurance policy that covers incidents that occur during the policy period, regardless of when a claim is filed
Detailed Explanation
This coverage focuses on when the incident happened, not when the claim is made, providing long-term protection for events that took place while the policy was active.
Practical Example
A construction company completes a project in 2023 while covered by an occurrence-based liability policy. Five years later, a structural issue causes damage, and they face a lawsuit. Even though the policy is no longer active, it still covers the claim because the faulty work occurred during the policy period.
Frequently Asked Questions
Related Terms
Need Insurance Coverage?
Request quotes from top insurance providers and find the best coverage for your needs.
Get Free Quotes