Patent ID: 7912738

Claim:
A computer-implemented method for administering premium collection for a plan sponsor that has prospectively required debt mitigation coverage as a condition of credit, the method comprising the steps of: providing a pension debt mitigation coverage to protect assets in a retirement account of an insured or covered participant in a defined contribution pension plan from unnecessary dissipation due to loan default, wherein the pension debt mitigation coverage includes an insurance policy or a debt cancellation agreement, wherein the assets of the retirement account serve as collateral for a loan to the insured participant, and wherein the pension debt mitigation coverage protects an unpaid balance of the loan upon an occurrence of a risk event; computing a retirement account insurance premium or consideration based upon the unpaid balance of the loan; instructing a computer to collect the retirement account insurance premium from a designated source account associated with the insured participant and selected by the plan sponsor; and causing the electronic transfer of funds into an operating account of an insurer providing the insurance.