Occurrence-based coverage

Occurrence-based coverage is an insurance approach where coverage is triggered whenever a specific event or condition happens during the policy period. Instead of covering ongoing issues, it provides protection for particular occurrences, regardless of when the claim is made. For example, if the policy covers damage caused by a burst pipe, the coverage applies if the pipe bursts during the policy term, even if the damage is discovered later. This approach emphasizes coverage based on the actual event happening within the coverage period, rather than when a claim is filed.