Liability · Insurance Term
Occurrence Policy (Occurrence Form)
Definition
An occurrence policy covers injuries or damage that happen during the policy period, no matter when the claim is filed. If an accident happened while the policy was active, that policy responds even if the lawsuit arrives years later.
In Plain English
Most general liability for property owners is written on an occurrence basis, such as the CG 00 01 Commercial General Liability Coverage Form. The trigger is the date the injury or damage happened. If someone slipped in your parking lot in 2026 and sues in 2028, your 2026 policy is the one that responds.
A claims-made policy works differently. It covers claims first made during the policy period, as long as the event happened after a set retroactive date. Claims-made forms are common for professional, management and some pollution coverage.
Because old occurrence policies can still respond years later, keep copies of every past policy. Know the each occurrence limit and aggregate limit of each one, since those set the maximum for claims from that year.
Not sure how your policy handles this? Have us review it, or get a quote.
Example
Hypothetical: a tenant's child is injured at an apartment playground in March 2025, while Policy A is active. The family sues in 2027, when the owner has Policy B. Because Policy A is an occurrence policy, it responds to the claim.
What to Watch For
- Keep copies of all past liability policies, ideally forever.
- Confirm whether each of your liability policies is occurrence or claims-made.
- If you sell a property, keep your old policies, since claims can still arrive.
- Report incidents to the insurer in force when they happened.
Common Questions
Is an occurrence policy better than claims-made?
Neither is better for every situation. Occurrence is standard for general liability and avoids gaps when you switch insurers, while claims-made is common for other coverages and needs careful attention to retroactive dates.
What if the injury happened years ago and I can't find the policy?
Ask your agent or past insurers for copies or confirmation of coverage. Proving which policy was in force can be essential for an old claim.
Last updated October 14, 2026 · Primesure editorial team · How We Write