What existing policies probably leave out
Commercial general liability policies usually exclude patent infringement claims, and their advertising injury coverage, where it reaches intellectual property at all, tends to be limited to narrower categories. Every policy and every claim is different, however, and coverage questions are decided on the actual policy language and endorsements. If a claim has arrived, give notice promptly to every carrier whose policy might respond, because late notice can complicate coverage. A broker's summary is not a substitute for reading the policy itself. Some policies do reach certain IP claims arising from advertising, such as copyright or trade dress used in an ad, which is why the wording of the claim is read closely against the policy.
Specialty IP coverage
Separate intellectual property insurance products exist. Defense-oriented policies help pay the cost of defending infringement claims, and some also contribute to settlements or damages. Enforcement-oriented policies help fund lawsuits a patent owner brings against infringers. Insurers underwrite these policies carefully: they commonly review your products and patents, exclude disputes already known, and may require cost sharing or their consent before a settlement. Availability and pricing vary widely by industry and risk profile, so the market is worth testing before you rely on it.
Indemnity and other places to look
Insurance is not the only potential source of protection. Supplier and component contracts often contain indemnity clauses that can shift defense costs upstream, while customer contracts may push them toward you. We read the indemnity provisions in both directions alongside your policies, and we look at whether pending or threatened claims would be excluded from any new coverage. Customer contracts may also cap the indemnity or give one side control of the defense, and those terms decide who makes the strategic calls. Bring your policies with all endorsements, the relevant contracts, and any letters you have received about patents.
