Which condition must be met for coverage from a commercial general liability policy written as a claims-made form to take effect?

For a commercial general liability policy written as a claims-made form, it is essential that a claim must be made during the policy period for coverage to take effect. This means that the insured must file the claim against the policyholder while the policy is active. Under a claims-made policy, coverage is specifically triggered by the occurrence of a claim, not merely the incident that caused the claim.

This structure contrasts with occurrence-based policies, where coverage is dependent on when the incident took place, regardless of when the claim is made. In the context of claims-made policies, it is critical for the policyholder to be aware of the policy period because any claims made outside of that timeframe will not be covered.

While payment of the premium is generally necessary for the policy to remain in effect, it is not the determining factor for coverage in the context of when a claim can be made. Similarly, the policy can be renewed, and incidents can occur at any point, but actual coverage comes into play only when claims are made during the specified policy period.