More than ever before, intellectual property claims involving infringement of patent, copyright and
trademark are being filed and litigated at a tremendous cost to both parties. The majority of companies
that have developed and maintained valuable intellectual property often lack the financial resources
to either defend or enforce it.
Here at COVER360 we provide coverage for intellectual property exposures, with an emphasis in the area of patent infringement.
There are three basic types of policies:
Defense and Indemnity
This policy will provide defense coverage for the insured in the event of a patent infringement suit and, in the event of liability, will pay damages, including prejudgment interest
This coverage is for defense only and does not pay any damages under the contract.
Known as "infringement abatement insurance" or "enforcement" coverage, this policy is designed to reimburse the insured for legal expenses associated with pursuing an infringement party.
Here are some benefits for why we should buy these policies
♦ Prevent loss of market share by timely and forceful response to infringement
♦ Prevent unexpected loss of cash on operations, thereby protecting the company’s balance sheet
♦ Provide adequate litigation funds to increase the possibility of obtaining a favorable decision for the intellectual property holder.
♦ Deter infringement by demonstrating the financial ability to protect corporate intellectual property
♦ Reduced pressure on the intellectual property holder to settle for unfavorable terms given mounting legal expenses