Does IP Insurance Cover Defense Costs?

Defense is an explicit feature of some specialist IP products. CFC describes a section for costs of defending a brand or product against infringement allegations. IPISC's application describes its defense policy as paying its portion of litigation expenses, with selected coverage and scheduled products. These materials show particular offerings, not universal terms for every policy.

Check whether the policy imposes a duty to defend or reimburses approved expenses, who selects counsel, and whether the insurer must consent before legal work begins. Ask which items count as defense costs, including experts, appeals, and counterclaims. Review the retention or copay and determine whether expenses erode the per-claim or aggregate limit. Enforcement costs for suing an alleged infringer may be separately selected and may have different conditions. Get the full form and endorsements before relying on a quote summary, especially if you expect a complex patent or software dispute.