Q: Am I covered if I switch to a FEDS policy from another federal employee PLI provider and a new claim arises based upon an act committed prior to my FEDS policy date?
The essence of this question involves a concept we call "retro date", which is short for retroactive coverage date. The claims made feature of the FEDS policy essentially means that there is no retroactive date for coverage purposes for claims made under the Administrative/Criminal portion of the policy. Accordingly, so long as you did not have actual knowledge of a claim or potential claim, you are covered for any prior acts, errors or omissions that result in a "claim" during the period that you are a policy holder with us. In other words, you are covered for decisions made prior to the purchase of the FEDS policy so long as you did not have actual knowledge of the claim or potential.
For claims under the Civil portion of the policy, we honor your "original retroactive date", which is the very first date that you purchased continuous professional liability insurance with any provider. Please see Section I, Civil Suit Coverage, A. Insuring Agreement and Claims Made Clause ("effective date of continuous coverage"). The effective date of continuous coverage means the very first date you purchase continuous professional liability insurance from any provider. Accordingly, if you first purchased professional liability insurance in January 1999, your "retro date" is January 1999 and you are covered for any civil claims that occur while you are a policy holder with FEDS for matters that involved acts, errors or omissions between January 1999 until the present.
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