Frequently Asked Question:

What is the difference between claims-made and occurrence malpractice insurance?

Insurance Type
Related Industries
Healthcare Services
Related Coverages
Medical Malpractice

The Short Answer

Claims-made covers claims filed while your policy is active. Occurrence covers incidents that happened during the policy period, even if the claim comes years later.

The Full Answer

The difference is the trigger. A claims-made policy responds only if both the incident (after your retroactive date) and the claim happen while the policy is in force. Cancel it, and claims filed afterward aren’t covered unless you buy tail coverage.

An occurrence policy locks in coverage for anything that happened during that policy year. A patient could sue five years later and that old policy still responds.

Claims-made is cheaper in the first few years and is the more common form. Occurrence costs more up front but leaves nothing to buy when you leave. If you expect to change jobs or states, that matters.

Related Questions

If you’re covered under an employer’s policy, you may not need one. Many NPs and PAs buy an individual policy anyway for coverage outside work and protection the employer’s policy doesn’t give.

Only a few states require it by statute. In practice, nearly every hospital, health system and many payers require it before you can work or bill.

Usually, while you’re employed there and acting within your job duties. It typically does not cover moonlighting, volunteer work, or claims filed after you leave.

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