In business, your ideas are sometimes your most valuable assets. And unfortunately, in today’s unpredictable business environment, it is becoming increasingly difficult and expensive to protect these ideas. Getting a patent or copyright isn’t sufficient enough to protect these assets anymore. That’s why Intellectual Property Insurance is becoming a very popular coverage taken by businesses.
Intellectual Property coverage is an insurance solution designed to protect your company’s most precious assets – intellectual property. This includes things such as patents, data, trademarks, designs, copyrights, trade secrets and domain names.
Intellectual Property (IP) Insurance covers your business for the legal cost of pursuing infringement or theft of your IP. It also pays to defend you against allegations of infringement. You need Intellectual Property Insurance if your company makes, uses, sells, offers for sale or imports a product or service and you want to protect your business processes and strategies. You also need this insurance if the threat exists that you could be sued by a competitor for infringing on an idea or intellectual property belonging to someone else. Competitors, especially those who are bigger and have more financial resources, can quickly utilize your ideas and ruin you financially. This coverage should be given very strong consideration when reviewing your business insurance program.
There are the two basic types of Intellectual Property Insurance coverages available:
Infringement Defense provides coverage for infringement claims brought against the insured and is the most popular type of Intellectual Property Insurance. It protects from claims that the insured infringed on patents, copyrights, trademark and trade secrets of another business.
Abatement Enforcement Coverage reimburses litigation expenses to enforce the insured’s intellectual property rights. This coverage provides the financial resources to the intellectual property owners to pursue a claim against businesses that have infringed on their intellectual property. This can include patents, copyrights, trademarks and trade secrets.
Intellectual Property litigation can be extremely expensive and it continues to increase each year. In certain cases, the high stakes of intellectual property litigation can pose a very real threat to the company itself. A company’s ability to adequately defend itself in an Intellectual Property infringement lawsuit may be the key its survival.
An IP insurance policy may be what keeps your company from closing its doors. Hortica Insurance & Employee Benefits offers Intellectual Property Insurance to aid businesses, whether protecting their intellectual property from infringement or defending against infringement claims. Think your business could benefit from Intellectual Property Insurance? Contact your Hortica representative today!