CFC launches first-of-its-kind licensing agreement liability product
Chicago, IL (May 12, 2020) – CFC, the specialist insurance provider and pioneer in emerging risk, has announced the release of its bespoke insurance solution for licensing agreements. The new product expands on the company’s robust suite of media and intellectual property insurance products.
Worth an estimated $280 billion, the global licensing industry is rapidly expanding as brand owners increasingly monetize their intellectual property assets – like logos, trademarks, graphics and animations – through third parties.
However the Covid-19 pandemic has halted a long line of global events, and the financial impact of each cancellation or rescheduling decision could have a catastrophic effect for promotional partners, licensees and businesses involved in merchandising.
License agreements often include a mandated insurance requirement, but to date the market has struggled to deliver a bespoke solution, forcing clients to purchase a full-fledged media liability policy instead. We’re excited to offer a standalone product with cover that’s designed specifically for these licensing exposures.
Jade Giltrap, Media Team Leader, CFC
Designed to protect licensees against unintentional breach of a licensing agreement, CFC’s new liability product offers a fit-for-purpose solution that covers individual licensing contracts or annual licensing agreements between multiple brands and the licensee.
CFC’s new product includes cover for breach of the license agreement, including selling in unauthorized channels or territories, incorrect usage or quality assurance breaches, and improper sublicensing among other activities. The policy also includes cover for intellectual property infringement in relation to the asset(s) specified in the agreement.
“There are numerous sectors where we see licensing activities as a core part of business, including sports, food and beverage, arts and entertainment, fashion, gaming and even corporate or institutional brands,” continued Giltrap. “While the long-term effect of the Covid-19 pandemic on licensee relationships remains to be seen, our product can help enable these businesses and provide piece of mind that they are protected while using third-party IP.”
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About CFC
CFC is a specialist insurance provider and a pioneer in emerging risk. With a track record of disrupting inefficient insurance markets, we use proprietary technology to deliver high-quality products to market faster than the competition while making it easier for brokers to do business. Our broad range of commercial insurance products are purpose-built for today’s risks, and we aim to give our customers everything they need in one, easy-to-understand policy.
We’re on a mission to radically simplify the way business insurance is bought and sold. To do that, we challenge assumptions, innovate constantly and use technology to drive change in our markets.
Headquartered in London and backed by Lloyd’s, CFC serves more than 70,000 businesses in more than 80 countries.
For more information, visit www.cfcunderwriting.com.
SOURCE: CFC Underwriting
Tags: CFC Underwriting, industry first, launch, liability
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