During what time frame must losses under a commercial crime policy be discovered to qualify for coverage?

The correct choice indicates that losses under a commercial crime policy must be discovered during the policy period or within one year after its conclusion to qualify for coverage. This provision reflects the intent of the policy to provide a reasonable timeframe for insureds to identify and report potential losses related to criminal acts, such as theft or fraud, that might have occurred during the policy's active coverage.

This timeframe promotes timely notification to the insurer, allowing for more efficient claims processing and investigation into the circumstances of the loss. It ensures that both the insurer and the insured are protected against the uncertainties that prolonged discovery periods could create. Insurance companies need this defined window to assess risk, establish reserves, and implement appropriate measures to prevent future losses effectively.

Losses discovered outside of this stipulated timeframe may not be eligible for coverage, reiterating the importance of vigilance and timely reporting in the context of commercial crime risks.