The phrase refers to an extended reporting period endorsement in a medical professional liability (malpractice) insurance policy. This extension provides coverage for claims arising from incidents that occurred during the policy period but are reported after the policy has been terminated. For instance, if a physician retires and their malpractice insurance is discontinued, but a former patient files a claim related to a procedure performed during the policy’s active period, this endorsement would provide coverage.
The significance of such an endorsement lies in its ability to mitigate long-term financial risk for healthcare providers. It protects against potential lawsuits filed after a policy’s expiration, offering peace of mind and financial security during retirement or a career transition. Historically, without this protection, physicians faced the prospect of individually funding their legal defense and any resulting settlements for claims made after their active insurance period.
