CLAIMS & POLICY MECHANICS
Losses-occurring definition
Losses-occurring is a liability policy basis that covers losses occurring during the policy period, regardless of when the claim is made.
In practice, this means a basis on which liability insurance may be written, although it is usually only public liability policies that are written on this basis. Under a policy written on a losses-occurring basis, claims are handled by the insurer that was on cover at the time when the loss event occurred, even if the insurance policy has since expired. This gives insurers, brokers, reinsurers and risk managers a shared way to discuss the concept when reviewing policies, claims, regulation or market data.
This term is especially useful in liability insurance, claims handling and policy wording. It helps determine when cover applies and what obligations exist under the insurance contract. It also helps users compare how insurance is structured, regulated, priced or claimed across different markets.
Losses-occurring is closely related to claims-made, liability insurance, policy period and claim notification. Linking these concepts together helps build a clearer glossary structure and gives readers a stronger understanding of how individual insurance terms connect within wider international insurance practice.
At a glance
- Used in
- Liability insurance, claims handling and policy wording.
- Purpose
- Helps determine when cover applies and what obligations exist under the insurance contract.
- Important because
- Clear definitions support better comparison of insurance products, market practices and regulatory requirements across jurisdictions.
- Related terms
- claims-made, liability insurance, policy period and claim notification.
Example of a losses-occurring policy
A liability policy is written on a losses-occurring basis for 2026. It may respond to a covered injury that happens during 2026, even if the claim is reported later.