Specialist lines underwriting agency CFC has launched an intellectual property product focused on small and medium sized companies. The product can cover the costs associated with a number of intellectual property exposures including infringement.
According to Erik Alsegard, Intellectual Property Practice leader at CFC, all business sectors face global competition where intellectual property (IP) is seen as a competitive advantage, whether it is a patent, trade mark or other rights.
“The importance placed on IP also means that the associated risks are increasing and despite the best intentions any company may face infringement allegations, be it from a competitor or a patent troll. To the same extent, as the owner of IP rights, there is little point in holding on to the rights if you cannot afford to enforce them when necessary,” he said.
CFC’s new product addresses these issues and covers the costs and potential damages in the defense or enforcement of an infringement action, as well as the potential loss of a right or a loss of profit. Where a right is lost through a dispute, the costs incurred in obtaining and maintaining the right can be recovered by the insurance. In the event that a company is unable to continue selling its product, it can also cover the loss of profit.
CFC Underwriting is a Lloyd’s MGA specializing n developing and distributing insurance products for specific niche markets. Based in London, CFC has clients in over 50 countries around the world and is backed by 22 Lloyd’s Syndicates.