Abatement (Enforcement Coverage) Available for intellectual property (patents, trademarks, and/or copyrights). The policies cover litigation expenses incurred in enforcing the insured intellectual property (IP) against infringers up to the policy limit.
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.
INTELLECTUAL PROPERTY INFRINGEMENT ABATEMENT INSURANCE PROGRAM SUMMARY
Intellectual Property Insurance Services Corporation
Gotham Insurance Company, (New York Marine Group)
A.M. BEST RATING:
A (Excellent), VIII IP Program additionally supported by an A++ (Superior) XV Reinsurer.
LIMITS OF LIABILITY:
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
20% Minimum; Higher Coinsurance Available.
LITIGATION EXPENSE Reimbursement for:
- AUTHORIZED LITIGATION (intellectual property infringement suits) brought by the Named Insured against an Alleged Wrongdoer for INFRINGEMENT which began during the POLICY PERIOD;
- Defense of Patent Invalidity counterclaims in AUTHORIZED LITIGATION;
- Re-examination in the Patent Office of Named Insureds patent in AUTHORIZED LITIGATION if petitioned by the Defendant in an attempt to invalidate Named Insureds patent;
- Reissue costs during AUTHORIZED LITIGATION in an effort by Named Insured to strengthen the patent claims.
The United States, its territories and districts.
PARTIAL LIST OF CONDITIONS:
- Acts of the Alleged Wrongdoer must begin and claim must be filed during the POLICY PERIOD.
- Company issues authorization letter after claim form received and all conditions are met.
- Company shares pro rata in any award of attorney fees and costs up to the amount Company has spent in respect to the AUTHORIZED LITIGATION under most conditions, but never to exceed 1.25 times the amount Company has spent.
- Favorable opinion by IP counsel of Named Insureds choice re IP validity and INFRINGEMENT required before authorization.
- Economic Benefit Relief Endorsement is available for additional premium. This Endorsement waives Companys right to seek any recovery of the first $250,000 in LITIGATION EXPENSES which might arise by virtue of any ECONOMIC BENEFIT deemed to have occurred as a result of the Named Insured (1) eliminating competition because of settlement with or without a cross license arrangement; or (2) gaining operating freedom because of injunctive relief, where no or insufficient monetary awards have been granted.
EXTENDED REPORTING PERIOD:
Extended reporting period available.
PARTIAL LIST OF EXCLUSIONS:
- Pre-existing acts of an Alleged Wrongdoer.
- Liability for judgments and damages. (may be available for defense reimbursement policies, however).
- Expenses incurred prior to initiation of a CIVIL PROCEEDING underlying AUTHORIZED LITIGATION.
- Criminal acts.
- Coverage against licensees which are not included by endorsement (New licensees must be added within thirty (30) days of license).
- Breach of contract by Licensees (unless included by Endorsement).
- Willful acts of Named Insured giving rise to infringement.
Minimum premiums range from $1,475 for $100,000/$1000,000 to $10,200 for $1,000,000/$3,000,000. Additional intellectual property may incrementally increase the premium. All premiums are subject to state and local taxes, as well as process fees, if applicable.
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