Which policy form provides coverage based on the events that occur during the policy period?

The occurrence policy is structured to provide coverage for events that happen during the policy period, regardless of when the claim is actually reported or filed. This means that if an incident occurs while the policy is active, the coverage remains in effect even if the claim arises after the policy has expired. This type of policy is beneficial for insureds as it offers long-term security against claims for incidents that may not be reported until much later.

In contrast, a claims-made policy only covers claims that are made during the active policy period. This can create gaps in coverage if an event happens while the policy is in force, but the claim is made after the policy has expired. The annual policy and specific term policy are not standardized terms in insurance that directly refer to the nature of event-based coverage, making them less relevant to this question. Thus, the occurrence policy is specifically designed to address coverage contingent upon when the event itself occurs, rather than when a claim is filed.