A perceived barrier for the need to file intellectual property (IP) rights is the costs of enforcing this IP against an infringing party. Although the costs of enforcing IP rights can be high, there are many other benefits to filing IP rights such as licensing potential, value creation, demonstrating IP sophistication, and so on, that outweigh the costs of enforcement. Nonetheless, one way to help mitigate the cost and risks associated with infringement actions is to obtain an IP insurance policy.

IP insurance provides many benefits including providing an ability to afford to enforce and defend claims of IP infringement. Removing the costs of enforcing and defending IP infringement from the balance sheet changes for the better how clients view IP rights.

Integrated IP (IIP) has been at the forefront of utilising IP insurance for its clients to maximise commercial gain.

As a recent success story, one of IIP’s clients, MOMA Products Pty Ltd (trading as Moma Solar), was involved in a litigation matter where they needed to enforce their patents against a third party. Fortunately, they settled with the third party just before mediation, but, despite this, significant costs were incurred, as is the nature of IP enforcement. Luckily, they had obtained an IP insurance policy well before this matter occurred, and upon completing settlement the underwriters paid out the client the incurred legal costs. Going into litigation knowing that they had an IP insurance policy to cover costs made a significant difference in how the client approached the matter, allowing them to plan and execute for commercial outcomes rather than planning to reduce costs.

The above example is a testament to the power of IP insurance and how it enables clients to utilise their IP to its maximum potential.

IP is a commercial tool. IP insurance makes it easier to put this tool to use.

If you have any questions about how IP insurance can help you, please get in contact with us.