IP Defense Insurance
HELPING COMPANIES STAY IN BUSINESS
Intellectual Property (IP) Infringement Defense Insurance reimburses the outside legal expenses and damages awarded against the insured (up to policy limits) to defend against charges of IP infringement. This policy is intended for any company that makes, uses, and/or sells a product, or uses a word or mark in commerce. Re-Issue and Re-Examination Costs are also included. IPISC's Defense Insurance provides several benefits:
- Enables the insured to mitigate the risk of an unexpected lawsuit.
- Provides the funds and expertise to ensure a powerful defense, therefore increasing the likelihood of a favorable decision.
- Prevents drain on the insured's operating capital.
- Relieves any pressure to settle a winning lawsuit due to limited financial resources.
- Discourages frivolous lawsuits.
- Prevents loss of market share.
- Provides coverage for Indemnification Obligations.
- Includes IPISC's Litigation Management services.
IP Defense insurance can put in place the funding mechanism to cover standard indemnification clauses for IP infringement found in many Retail/Supplier contracts. Defense insurance protects the substantial investment in the products being offered and the revenues they produce. The policy reduces the impact of litigation and may enable the insured's operations to continue virtually uninterrupted.
The Defense policy responds to a scheduled product or products. Therefore, it is important that the underwriters understand the IP landscape surrounding the technology, and the product specifications to be covered by performing an Insurability Review. The review includes an underwriting search summary and provides an abbreviated list of patents and patent applications or other IP found relevant to the company's operations. The cost is usually much less than other search options. For an additional fee, we can include an insurability opinion, which includes the list of IP listed above as well as an in-depth review of a companys's risk associated with that IP.
Do you already have a Freedom to Operate? We can accept this opinion in lieu of the above insurability review, however, the scope of coverage will be limited to what has been opined upon.
The following annual premiums for the Defense policy are based upon actual Applicants quoted, policy limits of $2MM/$2MM, and Average Risk (Including Damages).
1 (One) product/process-$20,300.00.
2 (Two) products/processes-$30,400.00.
All Defense Policies carry a Minimum Self-Insured Retention of 2% of policy limits and a 10% Co-Pay. There is a 90-Day Exclusionary period on the front-end of the Defense policy. The 90 days is added-on to the end of the policy period.
This is a Claims-Made and Reported policy. Pre-existing threats of infringement are generally excluded. Please review the policy specimen and consult with your professional advisor for all of the details.
Please download a
Program Summary and
Frequently Asked Question or an
Application for the IP Defense Insurance policy.
Request a
policy specimen.
