Architects: Claims Made v. Occurrence Insurance Coverage

Claims made policies provide coverage for claims that are made during the period of time while a policy is in force. Claims made policies will provide coverage for as long as the insured maintains continuous coverage – the initial policy and subsequent renewals. Once a policy is cancelled or non-renewed coverage will not exist for claims that are not known or delivered to the insurer.

In order for coverage to exist under a claims made scenario an architect or engineer would have had to have a policy in place at the time that the services were rendered as well as at the time that a claim is delivered.

Occurrence coverage is provided for claims stemming from an event when an insurance policy was in force even if the claim is not made for several years and the policy is no longer active.