What happens to claims-based insurance when a provider leaves their job?

When a provider leaves their job, claims-based insurance typically becomes inactive. This is because claims-based insurance is tied to the employment relationship and the specific insurance policy provided by that employer. Once the provider leaves, they are no longer covered under that policy, and any claims arising from their previous work would need to be addressed separately.

In contrast to occurrence-based coverage, which protects against claims for incidents that occurred during the time the policy was in force regardless of current employment status, claims-based insurance requires the provider to be actively employed under that specific policy. Therefore, once the individual leaves their job, they do not have the same protection against new claims that may arise from prior work.