How do you explain an extended reporting period?
An extended reporting period ( ERP ) is a feature you can add to your claims-made professional liability insurance policy. It allows you to report claims even after your policy expires. This policy endorsement is also known as tail coverage.
What is included in extended reporting?
A commercial general liability insurance policy includes an option to include extended reporting period, which covers those claims as well which are reported after the policy ceases to exist.
What is extended reporting coverage?
An Extended Reporting Period (ERP) is an optional coverage extension for a claims-made policy that gives the insured an additional period of time within which to report claims to the insurer arising from prior wrongful acts. Also referred to as Tail Coverage or Runoff.
What is meant by the extended reporting period under a directors & officers policy?
D&O insurance grants cover on a claims-made basis. This means that claims are only covered if they are made while the policy is in effect or within a contractually agreed extended reporting period, which can extend up to another 72 months or even longer in some countries.
Which statement is correct regarding the supplemental extended reporting period?
The supplemental extended reporting period must be purchased at the beginning of the policy period. correct-The supplemental extended reporting period can be purchased up to 60 days after the end of the policy term.
What is bilateral extended reporting period?
The bilateral extended reporting period provision is added to the policy contract, and allows the policyholder to continue to report claims to the insurance company. The reporting period is typically extended for a finite period of time, such as 60 days.
What is the supplemental extended reporting period?
A supplemental extended reporting period is an additional period after a liability policy expires that a policyholder can report a claim during and still get coverage for. In many liability policies, claims will not be paid out if they occur after the policy period ends.
What is the difference between runoff and extended reporting period?
Although runoff provisions function in a manner that is identical to extended reporting period (ERP) provisions, there are several differences. First, ERPs are generally written for only 1-year terms, whereas runoff provisions normally encompass multi-year time spans, often as long as 5 years.
Which injury would CGL medical payments apply?
To which injury would CGL Medical Payments apply? All choices are exclusion under Medical Payments except for the injury of a volunteer worker.
What is a supplemental extended reporting period?
What is the difference between a deductible and retention?
The answer to the question what’s the difference between a deductible and a self insured retention is that deductibles reduce the amount of insurance available whereas a self insured retention is applied and the limit of insurance is fully available above that amount.
Does extended reporting period extend claims made?
A basic extended reporting period (BERP) is a reporting period extension provided to claims-made liability policies. Basic extended reporting period (BERP) applies to claims made after the retroactive date, and after the policy has been canceled, non-renewed, or changed to a different type of liability policy.
What is an extended reporting period endorsement?
Extended Reporting Endorsements. An Extended Reporting Endorsement – often called an “ERE” or “Tail Coverage” – is an endorsement to your policy that provides a period of time to make or report a claim after a policy expires or is cancelled, or after an attorney is removed from a policy.
Can I extend the policy reporting period?
Basic extended reporting period. Insurers often provide a free extended reporting period of 30 or 60 days after a policy is canceled or not renewed. This is sometimes referred to as a basic ERP. Supplemental extended reporting period. This option can sometimes be purchased from your insurance provider, typically ranging from one to five years.