Infringement Defense Cost Reimbursement Coverage Reimburses you for your legal expenses when you must defend yourself against intellectual property (IP) infringement lawsuits.

The following summary is for promotional purposes only, and in no way changes the terms or effect of the Policy language. Consult a copy of the Policy itself for any specific questions that you may have. The term, "Alleged Wrongdoer(s)" referred to throughout this document shall mean an entity which is or is suspected of making, using, selling, offering, for sale or substantially completing and displaying any process, machine, manufacture, composition of matter, symbol, slogan, mark or work of authorship defined by the IP for which insurance is sought.

Defense Cost and (optional) Damages Reimbursement Insurance

Intellectual Property Insurance Services Corporation

Gotham Insurance Company, (New York Marine Group)

A (Excellent), VIII IP Program additionally supported by an A++ (Superior) XV Reinsurer.

From $100,000 to $3,000,000 Each Claim
From $100,000 to $3,000,000 Annual Aggregate

Minimum 2% of the per claims limits; Higher options available

10% Minimum; Higher coinsurance available.

None

The United States, its Territories and Districts & Districts and Foreign countries if named insured is a U.S. domiciled company.

LITIGATION EXPENSE Reimbursement for:

1. Intellectual Property INFRINGEMENT suits brought against the Named Insured during the Policy Period (i.e. COVERED LITIGATION).
2. Assertion of Patent INVALIDITY COUNTERCLAIMS in COVERED LITIGATION.
3. RE-EXAMINATION PROCEEDINGS initiated by Named Insured as a defense to COVERED LITIGATION.
4. Reimbursement for DAMAGES assessed against Named Insured.

1. Named Insured must obtain opinion of noninfringement based upon a search of Patents in the U.S. Patent & Trademark Office.
2. Company issues authorization letter after claim form received and all conditions are met.
3. Company shares pro rata in any award of attorney fees and costs up to the amount Company has spent in respect to the COVERED LITIGATION.

Policy non-assignable by Named Insured. Assignable by Company with substantially all of its business.

Extended reporting period available.

Excluded are:

1. Willful acts of INFRINGEMENT.
2. Any litigation not specifically included in Policy.
3. Fines, penalties, judgments, punitive, exemplary, treble, multiple, direct, indirect and/or consequential damages.
4. Criminal acts.
5. Lawsuits of which Named Insured was aware or knew were imminent at the time of purchase.
6. Asbestos Liability.
7. Nuclear Liability.

NOTE: Applicant should refer to the Specimen Policy for all terms and conditions of the Policy as well as all Exclusions. The above material in no way changes the terms or effect of the Policy language.

© 2006 Intellectual Property Insurance Services Corporation 9720 Bunsen Parkway, Louisville, Kentucky 40299 (502) 491-1144