Patent ID: 8219425

Claim:
An information system, comprising: a data storage device; and a computer linked to the data storage device configured to: receive and store in the data storage device contractual information for a plurality of valid Collateral Damage Coverage agreements, wherein the contractual information for each said valid Collateral Damage Coverage agreement includes a referenced reinsurance policy and a payment function that increases payment under the valid Collateral Damage Coverage agreement as a function of an increase in losses paid under the referenced reinsurance policy; receive and store in the data storage device information for a valid Collateral Damage Coverage agreement claim that includes a payment that was made under the referenced reinsurance policy of a valid Collateral Damage Coverage agreement; and calculate a payment amount for the Collateral Damage Coverage agreement by applying the payment function of the valid Collateral Damage Coverage agreement to the payment that was made under the referenced reinsurance policy that was included in the valid Collateral Damage Coverage agreement claim.