Claims-Made Policy and Late Notice

Our insured has a claims-made directors and officers policy with employment practices coverage. Our insured terminated an employee due to reorganization. The employee filed a claim with the Massachusetts Commission Against Discrimination. Before the Commission made a finding, the employee also filed a suit in superior court. The insured filed a claim with the carrier, which was denied for late reporting.

The policy states, “Such notice shall be given as soon as practicable, but in no event later than ninety (90) days after the end of the Policy Period.”