Los Angeles Claims Adjuster Property and Causality Practice Exam

What does the occurrence form in a CGL policy cover?

1. Claims reported after the policy expires

2. Bodily injury or property damage during the policy period

3. Contractual liability of the insured

4. Commercial auto liability claims

The correct answer is: Bodily injury or property damage during the policy period

The occurrence form in a Commercial General Liability (CGL) policy specifically covers bodily injury or property damage that takes place during the policy period, regardless of when the claim is reported. This means that if an incident causing such injury or damage occurs while the policy is active, the insurer will provide coverage for claims arising from that incident, even if the claim is filed after the policy has expired. This structure allows policyholders to have peace of mind because they are protected for events that happened during the coverage period, regardless of the timing of the notification of the claim. This is distinctive compared to claims-made policies, which require both the occurrence and the reporting to happen within the policy period for coverage to apply.