NEGOTIATING REINSURANCE FOR A RISK

• US 20080065556A1
• Filed: 11/13/2007
• Published: 03/13/2008
• Est. Priority Date: 12/21/2000
• Status: Active Grant

• Current Assignee: eReinsure.com, Inc. (Tiptree Inc.)
• Original Assignee: eReinsure.com, Inc. (Tiptree Inc.)
• Inventors: Best-Devereux, Igor
• Granted Patent: US 7,565,302 B2
• Time in Patent Office: Days
• US Class Current: 705/80
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/08 Insurance
• CPC Class Codes: G06Q 50/188 Electronic negotiation

Abstract

System, methods, and computer program products for facilitating negotiations for reinsurance of a risk. The negotiations for reinsurance of a risk are conducted between a cedent and one to many assumers. An interface is provided for allowing submissions of risk for reinsurance, responses from selected assumers, and replies to the responses as necessary to continue or conclude the negotiation. The interface also allows users to view information exchanged during various stages of the negotiation. Additional functionality including categorizing risk, categorizing reinsurance, required distribution, distribution preferences, and endorsement agreements are also provided.

Claims

1. A method for enabling a cedent associated system, comprising a cedent or a cedent'"'"'s broker, to negotiate a reinsurance of a risk with a plurality of assumers, wherein the cedent associated system exists within a network that includes a host system interposed between the cedent associated system and a plurality of assumers, wherein the negotiation for reinsurance of the risk is conducted through various stages of negotiation between the cedent associated system and the plurality of assumers, the method comprising:

the cedent associated system submitting information for reinsurance of a risk to a host system, the information for reinsurance of the risk including a risk record describing the origin of the risk for which reinsurance is being sought, the submitted information further including a distribution list that specifies a plurality of assumers to receive the submission;

the cedent associated system receiving one or more responses to the submission from one or more of the plurality of assumers to whom the submission was conveyed, the received responses indicative of one or more of the plurality of assumers that are interested in negotiating for reinsurance of the risk, wherein each response comprises one of an offer, a counteroffer, a quote, a plurality of alternative quotes, a refusal to quote, or an acceptance of a request to bind;

the cedent associated system submitting at least one negotiation reply to the response from one or more of the plurality of assumers;

the cedent associated system allowing additional responses and submitting additional replies necessary to continue or conclude the negotiation;

the cedent associated system monitoring the information and replies submitted and the responses received; and

the cedent associated system receiving access to an interface for viewing a stored negotiation history that includes the submitted information, the one or more responses and at least one negotiation reply.

2. The method recited in claim 1, wherein the cedent associated system comprises a cedent.

3. The method recited in claim 2, wherein the risk record is constructed by the cedent with information obtained by the cedent and that is based an association of the cedent with the risk.

4. The method recited in claim 1, wherein the cedent associated system comprises a broker that is associated with cedent.

5. The method recited in claim 1, wherein at least one of the plurality of assumers comprises a broker system associated with an assumer.

6. The method recited in claim 1, wherein the one or more responses to the submission and the at least one negotiation reply are transmitted through an interface provided by the host system.

7. The method recited in claim 6, wherein the interface includes selectable options for enabling the cedent associated system to accept, counter offer, or refuse the one or more responses from the plurality of assumers.

8. The method recited in claim 1, wherein the distribution list includes a list of assumers that should receive the submission as well as a list of assumers that can optionally receive the submission.

9. The method recited in claim 1, wherein submitting information for reinsurance further comprises an act of classifying policy information of the risk to be reinsured and which further includes:

selecting a policy class;

selecting a policy type from a subset of policy types within the policy class;

selecting a template for inputting policy information, the template tailored to the policy type; and

inputting policy information into the selected template.

10. The method recited in claim 1, wherein the act of submitting information for reinsurance of a risk includes inputting underwriting information for the policy for which reinsurance is being sought as well as preferred terms of reinsurance being requested.

11. A computer program product comprising one or more computer-readable storage media having stored computer-executable instructions for implementing the method recited in claim 1.

12. The computer program product recited in claim 11, wherein the computer program product comprises a computing system and wherein the computer-readable storage media comprises system memory of the computing system.

13. A method for enabling an assumer associated system, comprising an assumer or an assumer'"'"'s broker, to negotiate a reinsurance of a risk with a cedent, wherein the assumer associated system exists within a network that includes a host system interposed between the cedent associated system and a plurality of assumers, including the assumer associated system, wherein the negotiation for reinsurance of the risk is conducted through various stages of negotiation between the cedent associated system and the plurality of assumers, the method comprising:

the assumer associated system receiving a submission for a risk of reinsurance from a cedent wherein the submission is received by the assumer associated system along with at least one other assumer from a plurality of assumers, the submission including a risk record describing the origin of the risk for which reinsurance is being sought;

the assumer associated system providing a response to the submission from the cedent wherein the response comprises one of an offer, a counteroffer, a quote, a plurality of alternative quotes, a refusal to quote, a request for additional information, or an acceptance of a request to bind, the response indicative of an interest in negotiating for or concluding reinsurance of the risk;

the assumer associated system receiving the submission of at least one negotiation reply from the cedent;

the assumer associated system providing additional responses and allowing additional replies necessary to continue or conclude the negotiation;

the assumer associated system monitoring the information exchanged during the various stages of the negotiation, wherein the information exchanged includes submissions of risks received, submission of replies received, and responses provided to the submissions during negotiations for reinsurance of a risk; and

the assumer associated system receiving access to an interface for facilitating the negotiation, the interface providing access to a stored negotiation history, including information exchanged during the various stages of the negotiation and that includes at least the submission for a risk, the response to the submission and the at least one negotiation reply.

14. The method recited in claim 13, wherein the assumer associated system comprises an assumer.

15. The method recited in claim 13, wherein the assumer associated system comprises a broker that is associated with an assumer and that is interposed between the assumer and the host system.

16. The method recited in claim 13, wherein the submission for a risk, the response to the submission, the negotiation reply, and the additional responses are all transmitted through the interface.

17. The method recited in claim 16, wherein the interface includes selectable options for accepting, counter offering or refusing at least one of the submission, the negotiation reply or the one or more responses.

18. The method recited in claim 13, wherein the method further includes the assumer associated system submitting an endorsement to the cedent to request an alteration of the terms agreed upon by the parties during the negotiation.

19. The method recited in claim 13, wherein receiving the submission of the reply from the cedent comprises receiving a counteroffer from the cedent.

20. The method recited in claim 13, wherein the method further includes receiving a notification in the form of an email having an embedded URL to a website of the host system and that links to data concerning the negotiation.

21. A computer program product comprising one or more computer-readable storage media having stored computer-executable instructions for implementing the method recited in claim 13.

22. The computer program product recited in claim 21, wherein the computer program product comprises a computing system and wherein the computer-readable storage media comprises system memory of the computing system.