Liability · Insurance Term
Retroactive Date (Retro Date)
Definition
A retroactive date is the earliest date an incident can have happened and still be covered under a claims-made policy. Claims arising from events before that date are generally excluded, even if the claim is made during the policy period.
In Plain English
A claims-made policy covers claims first made during the policy period, but only for incidents on or after the retroactive date. Keeping the same retro date when you renew or switch insurers preserves coverage for older events.
If a new insurer moves the retro date forward, past incidents may lose coverage. Some policies have no retroactive date, which means prior acts are not limited by date, subject to other terms.
When a claims-made policy ends, an extended reporting period gives extra time to report claims from incidents that happened before it ended. This matters for coverages such as employment practices liability and directors and officers liability.
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Example
Hypothetical and simplified: a property management company has had employment practices coverage since 2020, with a 2020 retro date. In 2026 it switches insurers. If the new policy keeps the 2020 retro date, a 2026 claim about a 2024 firing could be covered. If the retro date becomes 2026, it likely would not be.
What to Watch For
- Check the retroactive date on each claims-made policy's declarations.
- When switching insurers, ask that the retro date carry over.
- Before selling a business or ending coverage, ask about an extended reporting period.
- Keep records of prior policies and their retro dates.
Last updated October 14, 2026 · Primesure editorial team · How We Write