I’m in the process of changing insurance companies to NACHI’S promoted Elite MGA.
The coverage they provide is a “claims-made” policy. To my understanding, on this type of policy both the issue and claim must be made within the active policy period.
A hold a license (in Mpls) for a pre-sale inspection program that requires an “occurance” policy. Apparently, with this type of policy the issue needs to occur during the active policy period, but a claim can be made after active policy period expires.
For example, let’s say it’s winter in MN & I accidentally left a boiler or furnace off in a vacant home. Several days later the pipes burst. If my claims-made policy expired between the time I was at the home and when it was discovered, I would not have coverage. With a occurance policy I would be covered.
Anyway, just curious if anyone has come across this issue? A claims-made policy seems to leave you potentially vulnerable to personal liability.