Aon launches new MGA for intellectual property liability risks
Re/insurance broker Aon has launched a new underwriting platform which it claims features the "largest known delegated capacity" for intellectual property (IP) liability risks.
Aon said the latest offering is designed to meet the changing needs of clients' IP exposures in the current distressed economic environment.
In 2018, Aon announced the development of an insurance facility providing $100 million capacity for IP infringement liability exposures, backed by Lloyd's syndicates and led by Tokio Marine Kiln (TMK).
Ian Lewis, who previously led the effort for TMK, has joined Aon to spearhead the development of an underwriting team and the creation of a portfolio of innovative risk transfer solutions for IP and other intangible asset risks to be offered by the Managing General Agent (MGA).
The IP liability solution will feature a primary limit of indemnity of up to $100 million, with policies placed on an annual, claims-made basis that can include coverage for contractual indemnities to customers/licensees. It also includes coverage options for third-party infringement defense, including certain litigation costs, damages and loss mitigation. Coverage automatically includes suits from competitors and is available with worldwide territorial and jurisdictional limits, with option for Trade Secret Misappropriation.
Aon said the target markets include businesses of all sizes from SMEs to multi-national corporations in North America, Europe, Australia, New Zealand and parts of Asia.
"We are investing aggressively to bring together market-leading experts from the IP world to best serve our client needs," said Lewis Lee, CEO of IP Solutions at Aon. "Considering the current economic environment, the importance of managing the value creation opportunity afforded by IP and the downside risk mitigation of IP has never been higher, and the timing of Aon's IP MGA could not be better for our clients."
Lewis, global head of IP underwriting solutions at Aon, said: "Having worked with Aon's IP Solutions data analytics, risk modelling and due-diligence teams over the past few years from the insurer side, I know that our ability to provide enhanced product solutions, with improved rating supported by robust underwriting, is unrivalled."
