INTELLECTUAL PROPERTY INSURANCE

What is Intellectual Property

Intellectual property (IP) refers to creations of the mind: inventions, literary and artistic works, and symbols, names, images, designs used in commerce IP is divided into two categories: Industrial property inventions (patents), trademarks, industrial designs, and geographic indications of source Copyrights Drawings,Paintings,Photographs,Sculptures Novels,Poems,Plays,Films

What is Intellectual Property Insurance

Intellectual Property Insurance coverage protects companies for copyright, trademark or patent infringement claims arising out of the company's operation. It pays the defense costs and any judgment up to the policy limits

When is Intellectual Property Insurance Required

You need Intellectual Property 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 As long as you are not aware of any known infringements or violations, you can apply for insurance to protect your trademark or patent

However in order to get coverage, you will be required to prove that you have completed an Intellectual Property search

Why is Intellectual Property Insurance Required

There are essentially two issues to be concerned with: The chance that someone will take your ideas your competitive advantage leaving you with less market share and less leverage; The chance that someone will accuse you of taking their ideas or intellectual capital.

Why is Intellectual Property Insurance Required

Consider these additional risks:
* IP holding companies some characterized as trolls, are increasingly viable corporate tools for growth of market share and licensing revenue. * Opinions of non-infringement are just that opinions that must be proven in court against other opinions. * No matter how strong the argument, one fact always remains: a battle or disagreement of any size will consume precious time and effort from executives a distraction of focus and operating capital * The Uniform Commercial Code, 2-312(3), includes an implied warranty against infringement by any seller of goods to their buyers. If you are selling a product, you are taking on the responsibility to indemnify should accusations of infringement arise

Why is Intellectual Property Insurance Required

The burgeoning Internet commerce is based on the ingenuity and development of new processes and applications. Many new companies compete to be the first to develop and sell new products and ideas. 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. An Intellectual Property policy will pay the costs to defend you if someone tries to claim the rights to the same business model, process, or application.

Growing Importance of Intellectual Property Insurance

Today, companies focus extensively on innovation to stay ahead of their competitors In such a race, intellectual properties created must be secured

Once stolen, fighting a case involves a lot of time, effort and money
Intellectual Property Insurance helps a company to be proactive rather than reactive in protecting its intellectual property.