Most attorneys glance at their malpractice insurance policy once a year, renew it, and move on. The premium gets paid, the certificate gets sent, and everyone assumes their firm is protected.
But there is one line in that policy that can quietly erase years of coverage without you realizing it: the retroactive date.
It sounds like a small detail, but it is one of the most important pieces of your malpractice protection. If it is wrong, your policy could deny a claim for work you did years ago, even if you have been insured the entire time.
What is a Retroactive Date?
Your retroactive date is the starting point of your coverage history. It is the date your insurer begins protecting your past work.
Think of it as a timeline. Everything you did after that date is covered. Anything before it? Not covered.
Here is where it becomes a problem.
Let’s say you’ve carried continuous malpractice insurance for five years. Then you decide to switch carriers because another company offered a better ate. The new policy starts, but your agent forgets to request that the retroactive date carries over.
Now, instead of covering those five years of prior work, your new policy starts today. A few months later, a client files a claim about something you did two years ago.
Your claim is denied.
Not because you canceled your coverage. Not because you did anything wrong. But because the new policy’s retroactive date wiped away yoru prior acts coverage.
One small change in wording, and your firm is suddenly exposed.
Why Continuity Matters
Malpractice policeis are written on a claims-made basis. That means coverage only applies if the claim is both made and reported during an active policy period AND the wrongful act happened after the retroactive date.
If that date resets, it is as if your earlier work never existed.
This is why continuity matters. When you renew or change carriers, make sure your retroactive date stays the same. Without it, you are building coverage from scratch everytime you renew.
For attorneys, accountants, architects, and other professionals, losing that continuity can mean years of risk exposure with no protection.
Three Steps to Protect Your Firm
- Check your policy today. Find the section that lists your retroactive date. Does it match the date of your original coverage? If not, you may have a gap.
- Never cancel without replacement coverage. Gaps between policies can resen your retroactive date. Always have your new policy bound before the old one expires, and confirm that the retroactive date carriers forward.
- Ask your agent directly. The question is simple: “Is my retroactive date carrying over?” If your agent says “it should”, that is a warning sign. You need someone who knows exactly how to maintain continuous protection.
Common Myths to Avoid
- “I have an active policy, so I’m covered.” Not always. If the claim involves past work before your retroactive date, you could still be denied.
- “My new policy automatically includes past work.” It might not. Carriers do not always include prior acts coverage unless it is requested in writing.
- “The carrier will fix it if something happens.” They will not. Once the date is wrong and the policy renews, it’s nearly impossible to fix after a claim is filed.
The truth is that insurance companies follow the contract, not assumptions. If the timeline of your policy does not include the date of the incident, they are not paying.
How The Bunker Helps Protect You
At The Bunker, we review your professional liability policy for these exact details. We make sure your retroactive date is preserved, your coverage remains continuous, and your policy actually protects the work you ahve already done, not just what you are doing today.
Our goal is simple: to move your firm from danger to a safe place.
Your Next Step
If you are not 100% sure your retroactive date is correct, or if you have switched carriers in the past few years, this is the time to check.
Book a malpractice policy review with my team at The Bunker. We will look for coverage gaps, confirm your retroactive date, and make sure you are full protected.
Because having insurance is not the same as being insured correctly.
Schedule your policy review here.
Your retroactive date is one line in your policy, but it could be the most expensive one to overlook. Let’s make sure it’s right.