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

It depends mostly on your specialty and state. High-risk surgical specialties pay many times what primary care or psychiatry pays, and rates in some states run far above others.

Tail coverage, or an extended reporting endorsement, lets a claims-made policy keep responding to claims filed after the policy ends. You need it when you leave a claims-made policy without prior acts coverage from the next carrier.

Yes — restaurants process card payment data through point-of-sale systems daily, and a breach affecting customer payment information typically isn’t covered under general liability, which is why cyber liability is now considered standard for the industry.

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