Claims-made vs. occurrence (definition)
Two coverage triggers: occurrence forms respond by when the loss happened; claims-made forms respond by when the claim is made, within the policy's dates.
The two standard coverage triggers differ on one question: which policy responds. An occurrence form responds based on when the injury or damage happened, regardless of when the claim arrives. A claims-made form responds based on when the claim is first made, provided the act occurred after the policy’s retroactive date.
Claims-made is the standard architecture for professional liability, including agency E&O. Its mechanics (retroactive dates, extended reporting periods, continuity) reward administrative discipline and punish gaps.
The practical consequence: switching claims-made carriers is never just a price decision. Prior acts coverage and the retroactive date decide whether the agency’s history remains covered.