Question

In a Commercial General Liability policy, the basic extended reporting period is also known as a(n):

A. representation.
B. tail.
C. premium.
D. insured contract.

Answer 1

In a Commercial General Liability policy, the basic extended reporting period is also known as a 'tail'.

Step-by-step explanation:

In a Commercial General Liability policy, the basic extended reporting period is also known as a(n) tail.

In insurance, an extended reporting period (ERP) is a period of time after a policy has expired that allows the policyholder to report any claims that occurred during the policy period. The basic ERP is commonly referred to as a 'tail' because it extends coverage beyond the policy's expiration.

For example, if a business has a Commercial General Liability insurance policy and they need to report a claim for an incident that occurred during the policy period but was discovered after the policy expired, they can utilize the basic extended reporting period or the 'tail' to report the claim.