Patent ID: 7882023

Claim:
A method directed to managing risk associated with a secured loan or lease transaction consisting of property possessed by a possessor making payment to an owner of said property for said possession, comprising: communicating instructions by a system having a data processor to the at least one data storage medium to store at least insurance and property data; storing among said property data a record of said property as possessed by a possessor making payment to an owner of said property for said possession; storing among said insurance data an insurance status associated with said property wherein said insurance status indicates at least whether said property is in included in an insurance policy; storing in said data storage medium a minimum standard for said insurance status maintained by said possessor on said property; monitoring by said data processor, said insurance database stored at said data storage medium to determine the insurance status of said property as maintained by said possessor on said property; and when the insurance status of said property does not meet said minimum standard, (a) charging by said data processor a predefined fee to said possessor payable to said owner in addition to said payment without allocating by said data processor said fee payable to said owner to alter said insurance status with respect to said owner, and (b) continuing by said data processor said secured loan or lease transaction with said property remaining in the possession of the possessor for at least a defined period of time until a default under said secured loan or lease transaction occurs, wherein said failure of said insurance status to meet said minimum standard is not, by itself, a default under said secured loan or lease transaction for updating said property data by said data processor to deprive said possessor of possession of said property.