Have you considered whether your business requires tail coverage insurance? This little-known insurance can provide critical protections after a policy expires, preventing companies from common vulnerabilities. Whether you’re interested in E and O tail coverage or tail coverage for your other insurance types, there are a few critical facts your firm needs to know.
It Can Help Keep Your Business Protected After a Policy Ends
Tail coverage is helpful for any company concerned about avoiding legal or financial hits after an insurance policy ends. Here are some common benefits of this coverage.
- Your business can add tail coverage to current insurance policies and, in some cases, after cancellation or in the event of insurer non-renewal
- Some states may legally require certain types of tail coverage
- Tail coverage provides an extended reporting period during which your company will maintain certain protections in the event of a claim
Tail Coverage Could Be Applied To Several Common Insurance Types
One of the interesting things about tail coverage is that, depending on your insurer, it could apply to a number of common insurance types. For example, you may be able to get tail coverage for your company’s:
- Errors and omissions coverage
- Employment practices coverage
- Management and professional liability
- Directors and officers coverage
- Cyber liability
- Real estate insurance
Having E and O tail coverage and more can provide any company key protections after the lapse of an insurance policy. If your business is thinking about securing tail coverage, these basic facts could help in your decision.