METHODS FOR SELLING INSURANCE USING RAPID DECISION TERM

• US 20090182585A1
• Filed: 10/29/2008
• Published: 07/16/2009
• Est. Priority Date: 01/14/2008
• Status: Active Grant

• Current Assignee: Fidelity Life Association (Investment Portfolio) (Members Mutual Holding Co.)
• Original Assignee: Fidelity Life Association (Investment Portfolio) (Members Mutual Holding Co.)
• Inventors: Hemmings, Richard A., Harkensee, James
• Granted Patent: US 8,082,163 B2
• Time in Patent Office: Days
• US Class Current: 705/4
• CPC Class Codes: G06Q 10/087 Inventory or stock management, e.g. order filling, procurement or balancing against orders
• CPC Class Codes: G06Q 20/105 involving programming of a portable memory device, e.g. IC cards, "electronic purses"
• CPC Class Codes: G06Q 30/02 Marketing; Price estimation or determination; Fundraising
• CPC Class Codes: G06Q 40/08 Insurance

Abstract

An insurance company sells a life insurance policy having a coverage period. The policy provides a total benefit amount which includes an all-cause benefit amount and an accidental death only benefit amount. The policy is initially underwritten on a limited basis and the ratio of the all-cause benefit to the accidental death benefit is low. The insured has the option of providing material to enable comprehensive underwriting and to enable risk classification. If the risk classification improves the policy benefits, the mix of coverage is adjusted to include a higher ratio of the all-cause benefit amount to the accidental death only benefit amount. If the insured does not provide any additional information or materials, or if the materials provided do not result in an underwritten risk classification that enables the policy provisions to be improved, the mix of coverage remains unchanged.

Claims

1. A method of providing life insurance, the method comprising:

receiving identification information and underwriting information associated with a person on an application for life insurance covering the person'"'"'s life, the identification information including a desired benefit amount;

performing at least one database query based on the underwriting information to produce a query result;

determining that the person qualifies for the life insurance based on the query result;

providing the life insurance from a life insurance provider, the life insurance having a total benefit amount equal to the desired benefit amount, a premium amount, and a coverage period, the total benefit amount including an all-cause benefit amount and an accidental death only benefit amount;

providing life insurance coverage at the total benefit amount for the premium amount without requiring medical test results associated with the person any time during the coverage period; and

modifying the life insurance during the coverage period if the medical test results associated with the person are received and indicate a favorable medically underwritten risk classification, wherein modifying the life insurance includes at least one of increasing the all-cause benefit amount, decreasing the accidental death only benefit amount, decreasing the premium amount, and extending the coverage period.

2. The method of claim 1, wherein the life insurance is modified during the coverage period if the medical test results are received from the person within a predetermined time period.

3. The method of claim 1, including supplying an alternate insurance offer if the person does not qualify for improved policy benefits based on medical underwriting.

4. The method of claim 1, including fully guaranteeing the life insurance regardless of a medical condition associated with the person that is discovered after the life insurance is provided to the person.

5. The method of claim 4, including maintaining the all-cause benefit amount and the accidental death only benefit amount after determining the medical condition associated with the person.

6. The method of claim 4, wherein fully guaranteeing the life insurance does not include fully guaranteeing the life insurance if the underwriting information includes false information.

7. The method of claim 6, wherein fully guaranteeing the life insurance does not include fully guaranteeing the life insurance only if the underwriting information was knowingly provided on behalf of the insured individual.

8. The method of claim 1, including receiving the medical test results from a doctor selected by the person.

9. The method of claim 1, including receiving the medical test results from a paramedical examination performed by a paramedical examiner approved by the life insurance provider.

10. The method of claim 1, including receiving the medical test results from an approved laboratory selected by the person from among those authorized by the insurance company.

11. The method of claim 1, including classifying a risk represented by the person based on the medical test results and including modifying the life insurance during the coverage period based on the medically underwritten risk classification.

12. The method of claim 11, wherein the risk classification is one selected from the group consisting of:

preferred plus, preferred, select, standard, table A or table B of any such class, and denied.

13. The method of claim 12, including, if the medically underwritten risk classification represented by the person is determined to be preferred approved, increasing the all-cause benefit amount to the total benefit amount and decreasing the accidental death only benefit amount to zero.

14. The method of claim 12, including, if the medically underwritten risk classification represented by the person is determined to be standard approved, increasing the all-cause benefit amount to an amount less than the total benefit amount and decreasing the accidental death only benefit amount to an amount greater than zero.

15. The method of claim 12, including, if the medically underwritten risk classification represented by the person is determined to be denied, maintaining the same total benefit amount, all-cause benefit amount, and accidental death only benefit amount.

16. The method of claim 1, including enabling the person to provide an additional premium payment in exchange for an increased all-cause benefit amount and also in exchange for a decreased accidental death only benefit amount.

17. The method of claim 1, wherein providing the life insurance includes providing a single life insurance policy including an all-cause component and an accidental death component.

18. The method of claim 1, wherein providing the life insurance includes providing at least one policy and at least one rider to the policy.

19. The method of claim 18, wherein the all-cause benefit amount is attributable to the at least one policy and wherein the accidental death only benefit amount is attributable to the rider.

20. The method of claim 19, which includes decreasing the accidental death only benefit amount by replacing the rider.

21. The method of claim 1, wherein the coverage period is based on one selected from the group consisting of a term of years, a whole of life of the insured individual, an age attained by the insured individual, and a period of years during which the premium payment remains level.

22. The method of claim 1, which includes enabling the insured to elect to reduce the coverage period in exchange for at least one selected from the group consisting of:

an increase in the all-cause benefit amount, a decrease in the premium amount, and an increase in the total benefit amount.

23. The method of claim 1, which includes determining that the person does not qualify for life insurance based on the query result and which includes providing life insurance having a reduced benefit amount which is less than the desired benefit amount.