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

A restaurant’s own commercial auto policy typically doesn’t cover an employee’s personal vehicle, so restaurants using employee-owned cars for delivery generally need hired and non-owned auto liability coverage.

Typically no — standard business interruption coverage is triggered by direct physical damage to the property, so a closure ordered for a health code violation alone usually isn’t a covered event unless it follows a covered loss.

Food trucks and caterers need the same core liability and property coverage as a restaurant, plus commercial auto coverage for the vehicle itself and often broader off-premise liability for events held at third-party venues.

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