You probably already know that there are two different types of dentist professional liability insurance; claims-made and occurrence. While both of these insurance types provide ample coverage and protection, there are a few distinct differences between them. Understanding these differences can help you become a more knowledgeable policy buyer. Here is the breakdown on both types of coverage.
Under dentist professional liability insurance, occurrence coverage is probably more well-known and understood than claims-made coverage. An occurrence policy will provide adequate coverage for damage or injuries that occur during the policy period, regardless of when the actual claim is reported. In essence, it provides long-term coverage and protection for any incident that occurs while your occurrence coverage plan is active, even if the claim isn’t made until years later.
Claims-made coverage was first introduced to be an alternative type of coverage. If you have a claims-made policy and have maintained continuous coverage then your insurance company is responsible to pay any claims made, even if they weren’t the primary insurance company providing coverage when the incident occurred.
Dentist professional liability insurance is a great option for dental practices, but it’s important to understand the differences in the plans before purchasing coverage. Whether you opt for an occurrence coverage plan or a claims-made coverage option will all depend on the needs of your particular business. Speak with a professional insurance agent to find out more specifics before determining which option is right for your dental practice.