Patent ID: 7885832

Claim:
A computer-implemented system for generating insurance policy data associated with an insurance policy providing insurance coverage for one or more entities, comprising: a computer processor programmed to: receive underwriting data relating to an entity to be insured; generate insurance policy data based upon the underwriting data, wherein the insurance policy data defines terms associated with an insurance policy for providing insurance coverage to the entity to be insured, wherein the insurance policy data defines an active coverage state and coverage and benefits to be provided to the entity during the active coverage state, and wherein the insurance policy data further defines a dormant state during which no coverage or benefits are to be provided to the entity, terms under which the dormant state can be commenced, and terms under which the active coverage state can be commenced to terminate the dormant state; determine an active coverage premium that the entity is required to pay during the active coverage state to maintain active coverage under the insurance policy using the underwriting data; determine a first dormancy premium that the entity is required to pay during the active coverage state to maintain the option of exercising the dormancy provision in the insurance policy using the underwriting data; and determine a second dormancy premium that the entity is required to pay during the dormant state to maintain the option of recommencing the active coverage period using the underwriting data; and an electronic database for storing the insurance policy data, the active coverage premium, and the first and second dormancy premium.