1. Commercial General Liability (CGL) Continued
Coverage A - Bodily Injury and Property Damage Liability
Coverage B - Personal and Advertising Injury Liability
Coverage C - Medical Payments
Limits
Triggers - Occurrence vs. Claims Made
Extended Reporting Periods
Additional CGL Provisions

2. Limits of Insurance General Aggregate Limit
Most insurer will pay in total for:
Coverage A except products-completed operations
Coverage B and Coverage C
Products-Completed Operations Aggregate
Each Occurrence Limit
Coverage A and Coverage C
Personal and Advertising Injury Limit
Fire Damage Limit
Medical Expense Limit
Coverage C - per person

3. Example of CGL Limits General Aggregate Limit $1,000,000
Products and Completed Operations Limit 1,000,000
Per Occurrence Limit for Coverages A and C ,000
Personal and Advertising Injury Limit ,000
Fire Damage Limit ,000
Medical Expense Limit (per person) ,000

4. Triggers
Occurrence
Bodily injury or property damage must occur during the policy period
Claims-Made
Claim must be first made during the policy period or extended reporting period
Injury or damage must not have occurred before the policy’s retroactive date (if any) or after the end of the policy period

5. Extended Reporting Periods
Basic Extended Reporting Period (BERP)
Automatic if policy is canceled or not renewed
Renewal has later retroactive date or is occurrence policy
Covers claims reported within 5 years if occurrence reported within 60 days of end of policy period
Supplemental Extended Reporting Period (SERP)
Must be purchased within 60 days of end of policy period
Extends reporting period for unknown occurrences indefinitely and for known occurrences if claim develops after 5 years
Cost can be up to 200% of policy premium
Reinstates policy aggregate limits

6. Claims-Made Examples
Policy Effective 1/1/93-12/31/93 Retroactive Date 1/1/93
Premium $40,000 Policy Limits $500,000 per occurrence
$500,000 aggregate
Policy not renewed
No new policy is available
Insured purchases SERP for $80,000 in January 1994

7. Customer injured on 7/10/93
Claim filed 2/15/94
Claim settled for $200,000 on 6/14/95
$200,000 covered under BERP
Customer injured on 8/15/93
Incident reported to insurer on 12/18/93
Claim filed 6/10/97
Claim settled for $400,000 on 2/28/99
$300,000 covered under BERP
Customer injured on 5/1/93
Incident not known by insured until claim filed on 8/1/99
Claim settled for $700,000 on 3/10/02
$500,000 covered under SERP

8. Additional CGL Provisions
Exclusion of specific accidents, products, work or locations
Laser beam endorsement
Special claims-made conditions
Notice of an occurrence is not notice of a claim
Coverage is excess over occurrence policy with earlier effective date
Insured’s right to claim information
Claims-made versus occurrence premiums