Intellectual property disputes are a major driver of digital health claims
Source: Middle East Insurance Review | Sep 2023
Intellectual property (IP) claims account for almost a fifth (18%) of the claims made by digital healthcare providers. They rank third in frequency behind medical negligence (29%) and cyber and privacy (22%) claims according to new data released by insurer CFC.
The insurer said IP might not be the first exposure that digital healthcare business owners think about but its prevalence proves the need to have cover and crisis management plans in place.
IP ranges from the coding, design and delivery methods that support digital healthcare products, to the language, logos and branding used in their everyday operations. It is common for practitioners to find themselves embroiled in a costly and time-consuming dispute about how these IP assets are used.
Some businesses will bring false IP infringement actions against competitors in a bid to slow them down and disrupt their commercial operations. Others will feel they have a genuine grievance – that their IP is being used by a third party without permission or the appropriate licences. Pursuing these claims enables firms to protect the value of their IP assets and prevents others from using them for their own commercial advantage.
For those facing IP infringement claims, it is necessary to stand their ground against those with no merit and to come to an agreement in cases where an infringement is found to have taken place.
The complex landscape of regulation and legislation surrounding IP, as well as the sheer number of protections in place, means that it is easy to infringe another party’s IP. However, accidental infringements still have to be defended and remedied, which draw heavily on corporate finances and commercial resources. M