This type of policy covers incidents that occurred before the beginning effective date of the policy.

Question

Quizplus · Accepted Answer

Prior acts coverage is designed to protect against claims for incidents that happened before the policy's effective date but were not reported until after. This contrasts with claims-made policies, which only cover incidents reported during the policy period, and occurrence-basis policies, which cover incidents that occur during the policy period regardless of when they are reported. Tail coverage extends the reporting period for claims-made policies but does not inherently cover prior acts not already covered under the original policy terms.

This Type of Policy Covers Incidents That Occurred Before the Beginning