What does Nonpracticing Extension mean? Read on to discover the definition & meaning of the term Nonpracticing Extension - to help you better understand the language used in insurance policies.
An extended reporting period (ERP) endorsement used with claims-made policies, sometimes granted by professional liability insurers when an insured retires, dies, or becomes disabled. There is no charge for such endorsements, and they are most commonly found in policies written to cover doctors, lawyers, and accountants. Eligibility for such provisions usually requires the insured to have been covered by the insurer for a minimum of 5 years.
We hope the you have a better understanding of the meaning of Nonpracticing Extension.