Commercial General Liability (CGL)

Question 1

Two forms of CGL

Answer 1

Occurance

Claims-Made

Question 2

Occurrence form

Answer 2

Covers events happening during policy period, even if the policy is expired.

Question 3

Claims made form

Answer 3

Covers any claim filed during policy period, no matter when damage occurred.

Question 4

Two types of Claims made forms

Answer 4

Pure: must be in policy period and reported asap even if outside of policy

Claims made and reported: must be in policy period and report claim within policy period.

Question 5

Claims made retroactive date:

Answer 5

Determines how far back an occurrence will be covered. Helps reduce premiums.

Question 6

Extended Reporting Periods (ERP)

Answer 6

Aka: Tails

Covers claims filed after policy end. Not occurrences.

Cannot be canceled.

Question 7

Two types of Tails

Answer 7

Basic Tail

Supplemental Tail

Question 8

Basic Tail

Answer 8

+60 days for incident reporting
+60 days for claims to be made on non reported incidents (mini tail)
+5 years for claims to be made on reported incidents (midi tail)
Auto apply; no extra cost
Starts at policy end; Doesn’t reset limits
Won’t cover if other insurance will.

Question 9

Supplemental Tail

Answer 9

Extends window for making a claim (on reported incident)
Must request and pay extra premium w/in 60 days of policy period
Added by endorsement; begins when basic tail ends; resets policy limits
Acts as secondary Ins