WTW launches insurance product to protect intangible assets
Willis Towers Watson has introduced a new financial solution geared at clients that want to safeguard and leverage their intangible assets by considering risk transfer.
WTW’s Intangible Asset Protection (IAP) is a one-of-a-kind product that bridges a market coverage gap. The IAP solution fills a vacuum in cyber, property, business interruption, and traditional intellectual property (IP) insurance coverage.
Intellectual property rights such as patents, trademarks, and copyrights, as well as databases, contracts, and license agreements, are examples of intangible assets. Intangible assets are often defined as non-public, private information like as formulas, procedures, R&D test results, designs, algorithms, and computer program code.
A firm may consider protecting and transferring the related risk for some of these risky assets. WTW’s new IAP solution would be used in this case.
We listen closely to our clients’ needs, said Kim Cauthorn, Global IP Leader at WTW. “Intangible assets make up the bulk of enterprise value for many companies today, but most of these assets are uninsured.” As a result, a product that fills a major gap in insurance coverage is necessary. IAP is the first comprehensive, modular platform that enables customers to tailor their insurance coverage to their IA risk profile, with the ability to grow and evolve in tandem with their business demands.
WTW created IAP to address the demands of its customers by providing protection against IA-related risks and their potential financial consequences. IAP is a specialized insurance offering that first protects non-public, proprietary, and intangible assets from accidental or malicious insider acts that result in revealed, misappropriated, damaged, destroyed, or lost IA.
Coverage will be set at $10 million for the first year, then expanded iteratively to cover more intangible asset categories and exposures with greater limits.
Tokyo Marine Kiln has a long-standing reputation for intellectual property products that respond to the changing world,” said Aoife Woulfe, Head of Intellectual Property at Tokio Marine Kiln (TMK), the carrier engaged in the solution. Addressing consumer needs, and we are happy of our collaboration.” WTW on this game-changing product. This solution fills crucial coverage gaps for intangible risks and has the potential to be helpful to clients by strengthening the resilience of their companies to unforeseen events.
