What is an extended reporting period in insurance

An extended reporting period ( ERP ) is a feature you can add to your claims-made professional liability insurance policy. It allows you to report claims even after your policy expires. This policy endorsement is also known as tail coverage.

What is a basic extended reporting period?

A basic extended reporting period (BERP) is a reporting period extension provided to claims-made liability policies. Basic extended reporting period (BERP) applies to claims made after the retroactive date, and after the policy has been canceled, non-renewed, or changed to a different type of liability policy.

What does ERP stand for in insurance?

A reporting period is the span of time covered by a set of financial statements. It is typically either for a month, quarter, or year. Organizations use the same reporting periods from year to year, so that their financial statements can be compared to the ones produced for prior years.

How does a reporting period work?

An occurrence policy has lifetime coverage for the incidents that occur during a policy period, regardless of when the claim is reported. A claims-made policy only covers incidents that happen and are reported within the policy's timeframe, unless a tail is purchased.