Malpractice Insurance comes in two varieties: Occurrence and Claims-made.
Occurrence covers lawsuits for which the event occurs while the insurance is active.
Claims-made only covers lawsuits for which the insurance is active both during the event and when the lawsuit is announced. It’s less expensive because the coverage period is both shorter and more definitive.
This is an important distinction when an event and a lawsuit may be separated by years, as happens with medical malpractice.
Occurrence is the “good” kind.
Claims-made requires a tail to cover any claims brought after the insured period ends.
