• EP is the expiring annual premium ($) To calculate Tail Coverage, multiply the expiring annual premium by 2. ## How to Calculate Tail Coverage? The following steps outline how to calculate the Tail Coverage. 1. First, determine the expiring annual premium ($).
2. Next, gather the formula from above = TC = EP * 2.
3. Finally, calculate the Tail Coverage.
4. After inserting the variables and calculating the result, check your answer with the calculator above.

Example Problem :

Use the following variables as an example problem to test your knowledge.

expiring annual premium (\$) = 2000