Emerging Trends in Litigation Risk Insurance
Litigation attorneys Matthew Grosack, Alex Gonzalez, Robert Hill and Leonie Huang co-authored an article for Insurance Journal explaining what risk litigation insurance is and how companies can use it effectively. Risk litigation insurance is a relatively new form of insurance that allows companies to move forward with transactions and other plans while managing risks arising from known litigation. In this article, the authors focus on two specific types of risk litigation insurance: adverse judgment insurance, which offers coverage for final judgments, and judgment preservation insurance, which allows successful litigants to "lock in" part of an award pending appeal. These options can prove especially helpful in the mergers and acquisitions (M&A) and intellectual property areas. The article also breaks down how risk litigation insurance works and what other material considerations businesses should keep in mind.