Japan Now Offering Overseas IP Litigation Insurance to SMEs

The Japan Patent Office recently announced that they have established an overseas IP litigation insurance program which will cover the costs associated with IP infringement lawsuits. The program is primarily aimed at SMEs, and for qualifying SMEs the JPO will subsidize half of the cost of the premiums which the SMEs will pay.

According to the JPO, recently the number of IP litigation cases involving Japanese SMEs has been increasing, and some companies are being forced to withdraw from oversea projects, otherwise those companies risk their future survival.

The JPO together with three major Japanese insurance companies, Sompo Japan Nipponkoa Insurance Inc., Tokio Marine & Nichido Fire Insurance Co., Ltd, and Mitsui Sumitomo Insurance Co., Ltd, cooperatively have established a new insurance system.
The JPO regards this insurance system as a safety net allowing SMEs to develop oversea projects, and they recommend that SMEs purchase this insurance which has been available since June 2016 through the Japan Chamber of Commerce and Industry, the Central Federation of societies of Commerce and Industry, and the National Federation of Small Business Associations.