Patent ID: 11928743
Assignee: nan
Field: IT methods for management (Electrical engineering)
Classification: CPC G | IPC G

Claim 0:
1. A system for creating a customized, non-level death benefit life insurance policy wherein the death benefits automatically change periodically, up or down without new underwriting, according to a customized schedule, and providing a level premium quote for the customized benefit policy for a requested coverage period, comprising:
a user interface displaying a plurality of functions for an insured to create a personal profile of the insured, family status and various categories that impact the insured's need for life insurance, assumptions that determine current and future death benefit needs, wherein input fields for the plurality of functions may be numbers, sliders, tables, formulas, or data relationship components, the plurality of functions including the following:
a first function corresponding to the insured's demographic factors that impact the projected need for life insurance benefits including at least the insured's current age, planned retirement date, spousal status, and children status;
a second function corresponding to the insured's economic situation relative to a need for life insurance benefits such as current income, mortgage balances, other debts and respective amortization schedules, savings and retirement account balances, and existing life insurance coverage;
a third function corresponding to the insured's family situation that impacts the amount and timing of life insurance benefit such as ages of any children, college tuition support plans, children with special needs, elderly parents, long-term care for the elderly parents or other financial support;
a fourth function corresponding to the insured's desire to gift life insurance benefits such as death benefits designated for charitable organizations, non-immediate family members, friends or beneficiaries inheriting income tax liabilities embedded with inherited tax-qualified retirement accounts;
a fifth function corresponding to adjustable fields on the plurality of assumptions used by a benefit determination model such as expenses for burial services, household support, childcare, long-term health care, college tuition, and inflation rates for each category;
a sixth function corresponding to adjustable fields on the plurality of assumptions used by the benefit determination model to project future gross income, portion of gross income to provide insurance coverage, savings and retirement account contribution rates, investment returns, and other factors that impact the current and future amount of life insurance needed or desired by the insured; and
a seventh function corresponding to estimating the insured's health status, wherein the seventh function includes displaying underwriting class input fields such as age, gender, smoker status, and general health assessment fields with computer-assisted definitions to assist the insured in estimating a health underwriting class to assist a policy pricing model with estimating the level premium quote for the requested coverage period;
wherein the user interface performs functions comprising: in response to the insured interacting with and completing the first, second, third, fourth, fifth and sixth functions, engaging the benefit determination model to determine the projected life insurance benefits needed or desired as the insured ages and discounts the future benefits from each age to determine each policy year's life insurance benefits, and adjusting the customized life insurance benefit policy for projected assets and existing coverage the insured plans to retain to determine a final customized policy's benefit schedule each policy year until scheduled expiration;
in response to the system engaging the benefit determination model to determine the customized benefit policy and the insured interacting with the seventh function, the system engages the policy pricing model to determine a level premium quote for the customized benefit policy requested for the requested coverage period, the policy pricing model to determine the level premium quote based on (1) pricing assumptions and investment yield assumptions, (2) targeted profit margins corresponding to the requested coverage period, (3) expected mortality rate corresponding to an underwriting class, (4) yearly death benefits, and (5) an expected policy persistency based on a death benefit pattern requested by the insured;
the user interface displays the level premium quote for the customized benefit policy for the requested coverage period numerically, graphically, or other means by needs category or in totality, and the insured interacts with adjustable input fields of the user interface to change the coverage on any category or multiple categories, or revise any input field, and receive real-time changes in the customized benefit policy and the level premium quote for the requested coverage period;
wherein, the insured interacts and adjusts the first function, second function, third function, fourth function, fifth function, and the sixth function of the user interface to simulate and evaluate, in real-time, different inputs and forecasting assumptions that determine the insured's current and future benefit needs and view, in real-time, the customized benefit policy and the customized level premium quote estimate for the requested coverage period, while enabling the insured to optimize the protection and cost of the life insurance over many years, avoid the extra cost and time inefficiency of purchasing multiple policies of varying amounts and maturity dates to fit their projected changing benefit needs, avoid the time and risk of applying for additional benefits in the future when it is forecastable, and eliminate the administrative expense associated with voluntary benefit reductions when it is forecastable;
wherein the user interface is configured to generate a display visualizing an interactive benefit curve comprising a plurality of adjustable portions that can be manipulated by the insured via the user interface, the interactive benefit curve being adapted to dynamically indicate a change in an amount of benefit over the requested coverage period in real-time based on inputs received from the insured via the user interface, the interactive benefit curve further illustrating the customized benefit policy and the customized level premium quote estimate for the requested coverage period;
in response to the insured manipulating the adjustable portions of the interactive benefit curve via the user interface, a real-time communication exchange is initiated between the user interface and the policy pricing model and the user interface is updated in real-time to display a modified benefit curve reflecting an updated level premium quote for the requested coverage period, wherein the updated user interface enables the insured to evaluate the customized benefit policy and level premium quote for the requested coverage period prior to submitting a formal application; and
in response to receiving a customized benefit policy and the updated level premium quote based on the modified benefit curve for the requested coverage period through the user interface, the user interface enables the insured to submit a formal application for the customized life insurance benefit policy and the updated level premium quote for the requested coverage period to a third-party system associated with an insurance carrier.