What event triggers coverage under a Commercial General Liability Coverage form?

Coverage under a Commercial General Liability Coverage form is triggered by the occurrence of a specific event known as the coverage trigger. This concept relates to the conditions under which an insurer is obligated to provide coverage for claims made against the policyholder. Typically, the coverage may be triggered by an occurrence, which refers to an accident or event that causes bodily injury or property damage during the policy period.

Understanding coverage triggers is essential for both insurers and policyholders, as it determines the circumstances under which a claim can be filed and the insurer's responsibility to respond. Insurers evaluate whether the event falls within the policy's scope and if it occurred during the effective period of the policy.

In contrast, the other options listed do not directly relate to activating coverage. For instance, policy inception refers to when the coverage starts but does not indicate the event prompting coverage. The deposit premium is related to the payment for the policy, and claim submission represents the process of notifying the insurer of a loss rather than triggering coverage itself. Thus, the concept of a coverage trigger is pivotal in understanding how a Commercial General Liability policy functions.